The NSW Government has announced a pause on new BASIX building standards in an attempt to ease financial strain on new homeowners and provide the industry with time to adjust to the new regulations.

The pause on building regulations will be in effect for nine months, with those who have already signed contracts now exempt from the new rules. The new BASIX standards aim to cut thermal energy use by at least 20 percent, saving homeowners money in the long run and improving efficiency.

Minister for Planning and Public Spaces Paul Scully believes the decision will assist homeowners at a time when money is tight.

“We’re in a housing crisis, but the construction and development industry are doing it tough with ongoing weather delays, rising materials costs, and skill shortages,” he says.

“The Government has responded by making new homes where a contract has been signed before 1 October 2023 exempt from increased BASIX standards until 30 June 2024.

“While we remain committed to the introduction of higher BASIX standards from 1 October 2023, the transitional arrangements will reduce the financial impact of increased standards on homebuyers who have already signed building contracts under the current BASIX requirements, which includes some 6000 contracts in Western Sydney alone.”

The standards can easily be adopted later down the line if exempt homeowners choose to do so. BASIX standards were introduced in 2004 and increased in 2017, with the Minns Government looking to further increase them in a bid to reach net zero emissions in line with the Federal Government’s targets.

Scully says the temporary exemption will align NSW with a number of neighbouring states.

“BASIX standards are critical. They mean housing stock in NSW is built with improved energy efficiency – making housing cooler in summer and warmer in winter with better windows and insulation,” he says.

“We also need to keep housing supply moving and these transitional arrangements will take some of the pressure off builders and buyers who want certainty.

“Commencing in October, a BASIX certificate lasts for three months. So, the exemption effectively extends the transition period to 12 months for those with contracts signed by 1 October 2023.”