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ACT’s Practical Solution To Fix Building Materials Crisis

“Excessive regulations are getting in the way of building houses and preventing competition in the market, which is why ACT proposes a Materials Equivalence Register to allow access to foreign approved substitute materials that can be used to build houses,” says ACT Leader David Seymour.

“ACT’s solution cuts through to the central problem, reducing bureaucracy instead of creating it. The Government announcing a ‘plasterboard taskforce’ to solve the problem of too much bureaucracy is like the start of a bad joke, not a solution.

“We know that good substitutes for name-brand plasterboard and other scarce building products exist. We just need councils to accept them. This policy will require them to, making it easier for builders and architects to get houses built.

“How it would work: MBIE would be tasked with keeping a Materials Equivalence Register. They would initially focus on plasterboard substitutes for dry areas of buildings, e.g. not bathrooms, where the risk is lowest. A material could get on the register in one of two ways. The first way is that an applicant would apply to have a material deemed equivalent. That might be an importer or producer of an equivalent material. The second way is that MBIE would proactively assess Material Equivalents in foreign countries, starting with Australia, and deeming any products available there as equivalents.

“Councils would then be required to accept Material Equivalency as a matter of course, if they refuse then consent is granted as of right. Councils would be absolved of liability for a decision to accept deemed Material Equivalent.

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“People will say that it’s all terribly complicated and we can’t possibly allow this to happen. That’s the thinking that got us into this mess. The truth is that plasterboard is a sandwich of plaster and cardboard. What first world, industrialised country gets itself into such a pickle? An overly bureaucratic one and it needs to stop, today.

“A recent report from Castalia found that regulatory barriers around materials are a large contributor to New Zealand’s woes, it says: “relaxing planning and consenting standards could both directly and indirectly resolve the issue of lacking compeititon and innovation in the building materials market.” And suggested streamlining the substitution process for approved products as a solution.

“The fact is building houses has slowed down as the industry has been suffocated under layer upon layer of government regulation and intervention. ACT has listened and is proposing real change that will give industry more choice and make building houses easier.

“The Government's 'plasterboard taskforce’ should adopt ACT’s policy to streamline substitutes and immediately address the shortage that is stopping houses from being built.

“This is a practical solution that will provide better outcomes almost immediately. It will also lead to more competition and choice in the building materials market over time.

“ACT offers real solutions to New Zealand’s building woes. We believe in better, longer-lasting solutions. As a country we deserve better when it comes to housing to ensure we can live our best and most fulfilling lives.”

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