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"The recent decision by the City of Sydney to ban the use of gas appliances in new development is just another example of council’s using planning controls to override nationally consistent building standards set by the National Construction Code.
As outlined in the HIA Getting Keys in Doors Report, building standards in Council DCPs and other policies or guidelines adds around $65 million each year to the cost of building new homes in NSW.
“These council controls restrict consumer choice, add costs and create regulatory complexities that undermine the benefits of a nationally consistent building code,” added Mr Armitage.
“Limits on the electricity load are being imposed on developers today, so suggestions that we just make all new buildings all electric are way off the mark. Gas must still be a crucial part of the energy mix as there simply isn’t the capacity in the existing electrical infrastructure to cope. Bans on gas appliances will only make the construction of new apartment buildings even more unfeasible and increase the cost of buying a new home.
"The NSW Government has a commitment under the ABCB Intergovernmental Agreement to reduce and restrict local government interventions. It’s time the NSW Government made good on its commitment.
“We are in the middle of a housing crisis, so councils should be removing unnecessary red tape to make it easier to build new homes – not harder,” concluded Mr Armitage.
“The NSW Government has taken an important step toward improving housing supply. Other states should now follow its lead and remove foreign investor taxes that discourage the construction of new homes,” said HIA Chief Economist Tim Reardon.
Housing Industry Association (HIA) Industry Outlook Breakfast in Newcastle and Gosford have highlighted the critical role of infrastructure, planning reform and industry support in addressing housing supply challenges across the Hunter and Central Coast regions.
The Housing Industry Association (HIA) is calling on all political parties contesting the November State election to make regional housing a priority, placing regional communities and their growing populations front and centre of their pre-election policy commitments.
“HIA welcomes the initiatives to support new housing announced by the Treasurer as part of today’s NSW State Budget,” said Brad Armitage HIA NSW Executive Director.