Key Facts:
- CCAA endorses Productivity Commission's final report on circular economy, supporting removal of regulatory barriers for recycled materials in construction
- Report calls for shift from prescriptive standards to performance-based regulations and national harmonisation of state-based specifications
- National stocktake of infrastructure standards recommended, particularly focusing on cement and concrete standards
- Current Australian Cement Standard AS 3972-2010 needs updating to accommodate modern materials and emissions reduction whilst maintaining safety
- Industry supports cross-jurisdictional coordination to enable circular construction and infrastructure delivery whilst transitioning to net zero
Cement Concrete & Aggregates Australia (CCAA) has welcomed the Productivity Commission's final report into Australia's circular economy: unlocking the opportunities, saying it reinforces long-standing industry calls to remove unnecessary regulatory barriers and modernise standards to enable greater use of recycled and low-carbon materials in construction.
The report highlights the need to move away from overly prescriptive standards and inconsistent state-based specifications that restrict the use of recycled and alternative materials in infrastructure and building projects, an issue consistently raised by CCAA in its submission to the inquiry and its interim report submission.
CCAA welcomed the Commission's call for a national stocktake of infrastructure standards and specifications, including specific consideration of standards governing cement and concrete.
CCAA Chief Executive Officer Michael Kilgariff said the report provides a clear, evidence-based pathway to lift materials productivity while supporting economic growth, decarbonisation and infrastructure delivery.
"The Productivity Commission has recognised what our industry has consistently been saying for years. Australia can only unlock the benefits of a circular economy when outdated and inconsistent regulations are modernised to encourage innovation," Mr Kilgariff said.
"Our members are already applying circular economy principles at scale through established material reuse, recycling and emissions reduction practices.
"What is now required is a regulatory and standards environment that supports the safe, effective use of these materials in construction and infrastructure.
"The report's discussion of Australian Cement Standard AS 3972-2010 highlights the need to ensure standards keep pace with modern materials, technologies and emissions reduction opportunities, while maintaining safety and performance.
"Moving away from overly prescriptive requirements and toward performance-based standards is critical to enabling the safe, durable and large scale use of recycled and lower-carbon materials.
"With significant public infrastructure investment ahead, even modest reforms to standards and procurement can deliver real productivity, cost and emissions benefits."
CCAA also welcomed the report's emphasis on regulatory harmonisation across jurisdictions.
"Different rules in different states does not deliver better outcomes, it simply increases cost and delays for projects and businesses operating nationally," Mr Kilgariff said.
"A coordinated, cross-jurisdictional approach is essential if Australia is serious about scaling up circular construction."
"Our industry supports circularity that is evidence-based, with the focus firmly on performance, safety and outcomes."
CCAA looks forward to working with governments, standards bodies and infrastructure agencies to implement the report's recommendations and support resilient infrastructure delivery and the transition to net zero.
About us:
CCAA is the voice of Australia's heavy construction materials industry, an industry that generates over $15 billion annually and directly employs 30,000 Australians, with a further 80,000 employed indirectly. CCAA members produce most of Australia's cement, concrete, and aggregates, which are essential to the nation's building and construction sectors.
