If you do not do this process, both the buyer and seller could be fined if discovered by the City.
The Seller is responsible for setting up and paying for an inspections that the boro/township/city requires. Your agent should, (even though they are representing the buyer) call the boro and speak with the building inspector. They will tell you what forms are needed and what is required PRE settlement.
Eventhough it is the responsibility of the Seller, I always (when representing a buyer) double check so that there are no surprises at the closing table.
If the seller hold the buyer responsible for the CO, then the above is the same (except replace the word "seller" with the word "buyer")
Your agent should be providing answers to your purchase questions. If they seem unsure, consider a new agent.