The Housing Industry Association (HIA) is backing calls for a dedicated energy security and supply plan to support Australia’s building product manufacturing sector.
HIA Chief Executive – Industry and Policy, Simon Croft, said that such plans would be critically important for the economy and for providing the essential products for homes.
“HIA shares the concerns raised by a number of Australian manufacturers about the escalating cost of energy and the impact it is having on Australia’s manufacturing base,” Croft said.
“Energy affordability and reliability remain among the most significant challenges facing Australian building product manufacturers and suppliers.
“The residential building industry depends on a strong and competitive local manufacturing base to supply essential products like steel, bricks, cement, timber and glass. When energy costs rise, those impacts are felt right across the housing supply chain, from manufacturers and builders to homebuyers.
“HIA’s recent submission to the Federal Treasury’s Economic Reform Roundtable called for urgent action to ensure energy security, reliability and affordability, alongside reducing the growing regulatory burden on local industry.
“Manufacturers need certainty and competitiveness to invest and grow. Current policy settings too often pull in conflicting directions that undermine affordability and reliability.
“We need a fuel-source neutral approach that supports all forms of energy supply, while maintaining a stable and affordable supply. Without this, Australia risks losing its manufacturing capability at a time when sovereign supply chains have never been more important.
Croft continued that a strong domestic manufacturing base is critical not only to Australia’s economic resilience but also to the delivery of the government’s housing targets.
“If we are serious about meeting the 1.2 million new homes target, we must ensure that the key materials needed to build those homes can be made here in Australia competitively, sustainably and reliably.
“HIA has called for the establishment of a Building Product Sector Transition Strategy to support manufacturers through the energy transition, as well as a coordinated federal approach to energy and regulatory reform.
“A ‘Future Made in Australia’ depends on keeping our factories running and our costs competitive. The time for coordinated, practical reform is now.”
