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ABCB backed initiative supports push for nationally consistent MMC terminology
Standards Australia has released the first nationally developed glossary dedicated to prefabricated building terminology, providing a reference framework for terms increasingly used across modular construction, offsite manufacturing and Modern Methods of Construction (MMC).
Published as SA HB 268:2026 Prefabricated Building — Glossary of Terms, the handbook was developed by the BD-111 Prefabricated Building committee following a request from the Australian Building Codes Board (ABCB) in 2024. According to the document, the glossary was commissioned to help address regulatory challenges associated with offsite construction and increasing adoption of MMC across Australian jurisdictions. It is also intended to support development of AS 5482, the Australian Standard for prefabricated and modular buildings currently under development.
The release comes at a time when the ABCB is separately progressing work on nationally consistent definitions for prefabricated and modular construction as part of broader MMC reforms funded under the National Competition Policy agenda.
In written responses provided to Built Offsite in November 2025, the ABCB confirmed one of its funded reform projects is to legislate nationally consistent definitions for prefabricated and modular construction through the National Construction Code (NCC). The regulator also confirmed it has been working with industry representatives and state and territory regulators on draft MMC definitions that are expected to be released for public consultation later in 2026.
Providing a common reference point
While the Standards Australia glossary is not part of the NCC and does not establish mandatory definitions, it represents the first nationally coordinated attempt to bring greater consistency to terminology used throughout the industrialised construction sector.
The handbook contains definitions covering a broad range of prefabricated building terminology, including modular buildings, volumetric construction, panelised systems, DfMA, BIM, kit-of-parts delivery and transportation methodologies associated with factory-built buildings.
One of the more notable aspects of the publication is its treatment of MMC. Rather than limiting MMC to volumetric modular construction, the glossary adopts a broader definition encompassing prefabrication, offsite manufacturing, panelised systems, robotics, artificial intelligence and other emerging construction technologies.
The document also distinguishes between prefabrication and modular construction. While prefabrication is described as the overarching category, modular construction is defined as a scalable form of prefabrication characterised by repeatable design methodologies, standardised componentry and repeatable assembly processes.
The publication does not resolve the ongoing debate around how MMC should ultimately be defined within Australia’s regulatory framework. The ABCB has previously indicated that it is too early to comment on the details of its proposed nationally consistent definitions because they will be closely linked to the framework for its proposed national voluntary certification scheme for MMC manufacturers.
What the glossary does provide is an early indication of how industry terminology is being organised as work continues on future standards, certification pathways and regulatory frameworks intended to support wider adoption of prefabricated and modular construction across Australia.
Find Standards Australia common language in prefabrication and Modern Methods of Construction HERE
