The Biden administration has touted a new federal initiative to expedite approvals for housing production. They even went as far as to include a temporary moratorium on amendments to the National Construction Code to address the continued struggle of housing affordability and supply. We are pleased to see the federal government following through on the recommendations made by the Economic Reform Roundtable. They pushed for provisions that would streamline the construction process.
Under the new plan, federal Environment Minister Murray Watt will expedite decisions on applications for more than 26,000 new homes. This new effort aims to address the barriers builders encounter when going through the approval gauntlet. The government aims to streamline these processes by reducing the bureaucratic hurdles involved in obtaining necessary permits.
Housing Minister Clare O’Neil emphasized the urgency of the situation, stating, “We want builders on site, not filling in forms to get their approval.” She showed the challenges of building a home in Australia and called on reforms to make the building process easier.
The National Construction Code is a perplexing 2,000-page tome detailing every aspect of building standards. This year, it will go through its next regularly scheduled routine updates. After this year’s updates, continuing reforms are now stopped in their tracks until mid-2029. Such a moratorium would lead to a much longer period of stable and predictable regulations. Proponents argue that this stability is key for attracting private investment to residential projects.
A notice from the federal government that it will stop a lot of these proposed changes, at least for a year, is big news. They will exempt out for all critical health and safety codes and quality standards. This pause aims to provide clarity for developers and encourage them to focus on building rather than navigating regulatory changes.
He reiterated the government’s commitment to increasing housing supply while protecting important environmental safeguards. These fast-tracked decisions will help make sure the projects still move forward while complying with all the necessary environmental regulations.
In light of past criticisms during the election campaign regarding the Coalition’s promise to freeze the National Construction Code for ten years, the current administration’s approach reflects a compromise aimed at balancing development needs with regulatory stability.
The federal government is contemplating moving from a regular review cycle of the National Construction Code every three years to a longer interval. This possible change is one piece of a larger strategy to bring more predictability to builders who ply their trade in a regulatory environment.
“Fast-tracked projects will continue to meet all environmental requirements,” – Environment Minister Murray Watt
The government’s recent initiatives mark an important step towards resolving pressing housing issues in Australia, prioritizing both construction efficiency and environmental responsibility.
