Hi Gregg, I believe these measures were introduced last September.
I've been told all along (going on 5 years) about the requirement for photos to be taken of the build - both to prove that the person presenting the car to VicRoads actually constructed it, and also as you say to document the state of the car at the time of registration.
In terms of getting a RWC for normal cars, the higher cost must be for the workshop to take the photos and presumably send them to VicRoads for safe keeping, along with any extra paperwork under the new scheme.
I just can't see how photos are going to capture bald tyres, windscreen scratches, frayed seat belts and all the potential things that you could get done for.
Perhaps it's VicRoads attempt to "keep the b@stards honest"