Regulatory
Needs
Dec 2025
by
CBS Group

Breaking Free from the Rulebook - How Needs and Risk Drive Regulations Deliver Superior Outcomes

Performance-based regulations are replacing traditional prescriptive codes, shifting engineering compliance toward measurable outcomes rather than rigid rules—with leading jurisdictions achieving up to 35% performance improvement and 25% compliance cost reduction.

A staggering 78% of infrastructure failures occur in designs that are fully compliant with existing prescriptive codes, revealing a critical gap between compliance and real-world performance. In the multi-trillion dollar global infrastructure market, this represents a significant strategic risk leading to underperforming assets, inflated lifecycle costs, and stifled innovation.

This white paper advocates for the adoption of performance-based regulations—a model focusing on achieving clearly defined outcomes rather than adhering to rigid rules. Drawing on international case studies from New Zealand's seismic-resilient buildings to Europe's cost-optimised bridges, we demonstrate how organisations can navigate regulatory evolution using the CAPITAL Framework to deliver infrastructure that performs better, costs less, and adapts more readily to changing conditions.

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Breaking Free from the Rulebook - How Needs and Risk Drive Regulations Deliver Superior Outcomes
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