The Minns Labor Government has brought together housing peak bodies, key industry stakeholders, and union representatives to discuss the impacts of current fuel supply challenges on the residential housing construction industry.
Chaired by the Building Commissioner and attended by the Minister for Building, the roundtable was a valuable opportunity for the Government to understand the challenges facing builders, establish data and information sharing with Building Commission NSW, as well as assess the level of risk currently facing the industry.
Oil based products are a critical input to residential housing construction. Diesel, petrol, and LPG power essential equipment transport workers to construction sites and are critical components to a wide range of building products, from concrete to PVC pipes.
Disruptions, price increases, or uncertainty in fuel supply can affect productivity, costs, timeframes, and project viability, with flow‑on impacts across the housing construction supply chain.
Following this initial roundtable, the Government and industry groups have committed to:
- Sharing qualitative and quantitative information on construction material pricing, supply and quality, project timeline changes, and fluctuations in workforce capacity.
- Taking submissions from key stakeholders on ways the Government can support them.
- Developing a plan addressing current fuel supply impacts and future opportunities for alleviating these pressures.
- Hosting a follow-up meeting next month to address ongoing risks.
Key stakeholders in attendance included the Master Builders Association NSW, Housing Industry Association NSW, Urban Development Institute of Australia NSW, Unions NSW, Urban Taskforce, Property Council of Australia, Master Plumbers, and the Plumbers Union.
This roundtable was an important next step for Building Commission NSW to deepen its understanding of industry experience, as well as emerging issues, risks, and practical impacts in the sector.
The Government will continue working with the construction sector to monitor the impacts of ongoing fuel and material supply challenges.
Minister for Building Anoulack Chanthivong said:
"We know that builders across the state are experiencing rising construction costs amid higher fuel prices and supply chain disruptions.
"The Minns Labor Government is focused on building more homes to buy and rent for the people of NSW - and we are working in lockstep with the construction industry to ensure these homes are high-quality, safe and sustainable.
"I'd like to thank every industry stakeholder that engaged in these important discussions, and I look forward to working towards our shared goal of building a better NSW."
NSW Building Commissioner James Sherrard said:
"I want to thank industry members who attended today's roundtable and told us about how ongoing fuel supply issues are affecting them and the flow on it is having for homeowners.
"This feedback will play a key role in shaping how the NSW Government responds to these challenges, and how we support the residential construction industry in a challenging time."
Property Council NSW Executive Director Anita Hugo said:
"Fuel and materials supply pressures are beginning to present real risks for construction costs, project timelines and delivery certainty across the housing pipeline. Early intelligence from our members points to growing exposure to diesel price volatility, higher costs for fuel‑intensive materials such as PVC and emerging concerns around bitumen availability.
"The Property Council welcomes the NSW Government's swift and proactive response in bringing industry together and committing to a joint plan to manage these pressures. Working directly with industry to share real‑time data and develop practical solutions will be critical to maintaining project momentum, protecting housing supply and avoiding unnecessary delays. We look forward to continuing this close partnership as the situation evolves."
