Minister for Planning and Public Spaces Paul Scully said new homes already under contract before 1 October would be exempt from new sustainable building (BASIX) standards until 30 June 2024.

“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,” Mr Scully said.

“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 BASIX 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 6,000 contracts in Western Sydney alone,” he said.

Mr Scully said that homeowners in this group may still adopt the new BASIX standards should they choose, to help manage future energy bills.

BASIX standards were introduced in 2004, and increased in 2017, to improve the energy and thermal performance of homes, providing better comfort, and energy and water efficiencies.

The new standard cuts thermal energy use by at least 20% and will save homeowners on power bills. The changes can save considerable amounts of energy helping to make new homes more comfortable, particularly in the hotter areas of the State during summer.

Minister Scully said the temporary exemption would bring NSW in line with other states including Victoria.

“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.

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

Industry has had more than 12 months to prepare for the introduction of changes to BASIX. The transition period provides additional time to adjust.

For more information, visit: https://pp.planningportal.nsw.gov.au/BASIX-standards