Measures in the 2026–27 Federal Budget to stimulate housing supply show that housing must be fast to build, affordable to live in and resilient to a changing climate, says the Green Building Council of Australia (GBCA).
GBCA Chief Executive Officer Davina Rooney said the Budget reflects a growing recognition that housing affordability is not only about the purchase price of a home, but also the long-term cost of living in it.
“As Australia works to accelerate housing supply, we have an opportunity to ensure new homes are efficient, climate resilient and ready for a net zero future,” Ms Rooney said.
Several key Budget measures signal continued momentum towards more efficient, resilient and future-ready homes and buildings.
Ms Rooney said the release of the Built Environment Sector Plan (BESP) late last year, alongside an $85 million package supporting programs such as NABERS, NatHERS and Commercial Building Disclosure, had already established important foundations for the next phase of Australia’s housing and decarbonisation agenda.
“The Built Environment Sector Plan recognised that better buildings are central to Australia’s economic and climate future. The challenge now is scaling delivery,” Ms Rooney said.
Measures in the Budget include:
Better buildings and lower household costs
- $97.2 million over five years to implement the National Consumer Energy Resources Roadmap, including establishment of a National Technical Regulator to help households benefit from solar, batteries and electric vehicles supporting the grid. “Consumer energy resources are becoming an increasingly important part of how Australians manage household energy costs and participate in the energy transition. Smarter, more flexible homes can also play a major role in strengthening the resilience and efficiency of the energy system,” Ms Rooney says.
- $4.5 million over four years to improve the Water Efficiency Labelling and Standards scheme. “Efficient homes aren’t just about energy. Water efficiency also plays an important role in reducing long-term household costs and strengthening resilience in a changing climate,” Ms Rooney says.
- Another $2 billion in enabling infrastructure to support new housing developments. “As Australia builds more homes, we also need to ensure communities are supported by the infrastructure required for long-term resilience and liveability,” Ms Rooney says.
Smarter rules and stronger delivery
- $42.7 million over four years will provide free public access to Standards Australia standards referenced in legislation, helping simplify access to technical requirements underpinning the National Construction Code. “Improving access to standards is a practical productivity reform that can support faster, more consistent delivery across the building and construction sector,” Ms Rooney says.
- The Budget also includes funding to strengthen climate risk management capability across the Australian Public Service. “Strong implementation capability will become increasingly important as Australia’s climate, resilience and housing policies continue to mature,” Ms Rooney says.
Circular economy and sustainable supply chains
- An additional $17 million in 2026–27 will continue delivery of Australia’s circular economy policy, program and legislative reforms. “Circular economy principles will play an increasingly important role in reducing waste, improving material efficiency and strengthening sustainable supply chains across the built environment,” Ms Rooney says.
- Funding to set up the National Environmental Protection Agency, including $36.9 million over two years to administer the Nature Repair Market and develop additional methods to increase investment in nature and facilitate delivery of environmental offsets.
Ms Rooney said resilience featured in the Budget’s housing and infrastructure agenda, but further opportunities can strengthen the resilience of homes and buildings.
“Measures supporting water efficiency, climate risk management capability and insurance transparency are positive steps. However, continued investment in resilient building standards and future-ready homes will remain critical as climate risks intensify,” Ms Rooney said.
“The built environment is an area where affordability, resilience and emissions reduction can be delivered together. We look forward to continuing to work constructively with the Albanese Government to deliver homes and buildings that are better for all Australians,” Ms Rooney concluded.