The Albanese government has unveiled a strategic plan to cut red tape and expedite environmental approvals for new housing developments, aiming to mitigate Australia’s ongoing housing crisis. On Saturday, the government declared its intention to halt further residential amendments to the National Construction Code and streamline the assessment of over 26,000 homes under the Environment Protection and Biodiversity Conservation Act.
This announcement follows a recent economic reform roundtable where housing emerged as a primary concern. The government noted a broad consensus that “commonsense changes could reduce the regulatory burden for builders and boost housing supply.”
In a statement, the government highlighted a critical issue: “For too many builders in Australia, it takes longer to get approval for a home than it does to build one.” To address this, the government plans to collaborate with states and territories to pause further changes to the National Construction Code, while exploring ways to streamline it. This includes leveraging artificial intelligence to assist tradespeople, small businesses, and households in navigating the extensive three-volume, 2000-page code.
Streamlining Approvals and Utilizing AI
A newly established “strike team” within the environment department will focus on accelerating housing assessments. The team plans to use AI to “simplify and speed-up assessments and approvals,” according to Housing Minister Clare O’Neil. She emphasized the need for efficiency, stating, “It’s too hard to build a home in this country. We want builders on site, not filling in forms to get their approval.”
Environment Minister Murray Watt assured that fast-tracked projects would still meet all environmental requirements, promising that the measures would lead to quicker decision-making and the unlocking of new homes. The federal government also intends to advance other housing reform ideas, such as removing barriers to superannuation investment and increasing the adoption of modern construction methods like prefab housing.
Industry and Expert Reactions
The Property Council of Australia, a proponent of faster environmental approvals and AI integration in planning, welcomed the government’s announcement. Chief Executive Mike Zorbas described the measures as “sensible” and a “win” for housing supply. “Let’s also put AI to work turbocharging housing delivery,” he suggested, emphasizing that a smart AI rollout in planning and assessment systems could provide decision-makers with the clarity needed and save valuable time in delivering new homes.
Meanwhile, New South Wales Treasurer Daniel Mookhey expressed support for pausing new federal regulations to the national construction code, predicting it would “certainly” lead to more homes being built. “If the national code is frozen, it gives us a bit more time to get the interactions between national standards and state standards clear,” he said.
However, former Industry Minister Ed Husic raised concerns about pausing the code, citing past experiences where the former Coalition government froze new homebuilding regulations, only to later implement numerous changes rapidly. He noted, “People who’ve lived in older homes with regulations that weren’t as strong understand why livability is such an issue.”
Environmental Considerations and Future Steps
As discussions continue, environmental advocates call for comprehensive reform. Australian Conservation Foundation Chief Executive Kelly O’Shannassy stressed the importance of environmental law reform, including national environment standards and better coordination between governments. “Faster decisions are crucial, as is stronger nature protection. Australia’s failed national nature law facilitates neither,” she remarked.
O’Shannassy criticized the current national nature law for its convoluted processes and lack of defined outcomes or transparent institutions, describing it as a “recipe for slow, unpredictable decisions and ecological and economic decline.”
The Albanese government’s initiative represents a significant shift towards addressing the housing crisis through regulatory reform and technological innovation. As these measures unfold, stakeholders across the construction, environmental, and governmental sectors will be closely monitoring their impact on housing supply and environmental protection.
