The property lobby has admitted it does not support key parts of the Coalition’s housing policy, despite the Coalition’s CEO announcing it alongside leader Peter Dutton.
Mr Dutton on Saturday unveiled the Opposition’s $5 billion housing policy, which includes a 10-year freeze on changes to the National Construction Code (NCC) to cut unnecessary “bureaucracy”.
The Perth announcement was attended by top lobbyists from the construction industry, and the opposition leader declared that the policy had the “blessings and support of all key stakeholders in this country’s housing industry”.
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But Property Council of Australia chief executive Mike Zorbas, who was part of the group, has now told the ABC he does not support freezing changes to the NCC.
He said: “The Real Estate Council has long supported the benefits of periodic review of national construction laws and interprovincial coordination.”
The ABC understands that Mr Zorbas’ apparent support for freezing changes to the NCC, which regularly updates building safety and comfort regulations, raised eyebrows in some circles in the industry.
Zorbas also made his position clear in an opinion piece on the council’s own website, writing that he welcomed the coalition’s $5 billion investment but remained in favor of a review of the bylaws.
“I still remember that my first boss and national chairman, the great Jim Service AO, was chairman of the Australian Building Codes Commission, which governed the NCC,” he said.
“Over the next eight months, we will see thoughtful advocacy agreements and disagreements between the government, opposition parties, small parties and independents.”
The NCC sets minimum standards for buildings in Australia, including requirements for safety, comfort, accessibility and energy rating standards.
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It is reviewed and updated every three years.
Opponents said the requirement would add $60,000 to the cost of a new build, but the Australian Glass and Window Association said the average cost of upgrading a new home in Australia’s major cities to a seven-star energy rating is $5,000. He says it will be close to the US dollar.
The ABC understands that Mr Dutton may not actually have the power to block changes to building codes, as they are created and changed by the Council of State and Territory Building Ministers.
Australian Building Standards Board chair Gary Lake said the terms of the freeze would need to be determined by all building ministers.
He also disputed the coalition’s claim that the energy efficiency rating rule would increase the cost of new construction by $60,000.
“Our economic analysis… shows that improving from six stars to seven stars will cost, on average, about $2,200 in 2021,” he said.
He said ongoing work to make future homes more resilient to fires and floods would have to be halted under the coalition’s policy.
Master Builders Australia CEO Denita Wan was also present at Mr Dutton’s announcement and later released a statement saying she supports a freeze limited to “unnecessary” changes to the code.
“Pausing unnecessary code changes that increase cost and complexity without meaningful improvements in standards is a positive step,” Waun said.
Mr Dutton has been contacted for comment.
The coalition said its policy would secure 500,000 new homes, mainly on new greenfield housing developments, through investment in water, sewage, electricity and road infrastructure.
