Australia's 8 Bureaucratic Barriers: Case for Simplification

Australian Treasury

Australia is one country but businesses and workers still often deal with 8 different regulatory systems.

These differences can waste time, make it harder for firms to expand across state borders, and slow the spread of new technology.

That's why Australian governments are revitalising National Competition Policy, making it easier for workers and firms to operate across the country, while keeping the protections Australians rightly expect.

Take bike helmets. Australia imports around 1.2 million bicycle helmets each year. The national product safety standard recognises 6 routes to compliance.

But until recently, state rules did not all line up with the national standard. So a helmet could be legal to sell but illegal on the road.

Finally, in July, states and territories aligned rules with the national standard. This will save millions in testing and admin.

National Competition Policy can also help us build quality housing faster. Components, and even whole rooms, can be built in factories and then assembled on site.

But our regulatory systems were mostly designed for conventional construction.

Think about a prefabricated bathroom. Its plumbing may be installed and inspected in a factory. By the time it reaches the building site, some of the pipework is behind a finished wall. On‑site inspections can end up requiring finished work to be pulled apart.

The Commonwealth is working with states and territories on a voluntary national certification scheme. Once a product has been shown to comply with the National Construction Code, certification should be usable across Australia.

And then there are trucks.

Operators can face different rules as they cross networks and borders.

The Commonwealth has committed $400 million to a heavy vehicle reform package, with every state and territory now signed on. Its centrepiece is a National Automated Access System, which aims to replace 90 per cent of current permit requests with automated decisions.

The automated system doesn't compromise on safety. A bridge will still have a load limit. The change is that where a road manager has already decided access is safe, approval can happen quickly.

These are just a few of the 2 dozen reforms. According to modelling by the Productivity Commission, the full National Competition Policy package could lift long‑run GDP by more than $4000 for every household.

A seamless national economy is good for everyone, whether you're buying a bike helmet, building a home, or driving a truck.

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