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Chief Executive's Upfront
Government Relations: One of Many Hats

Monday, 9 May 2022  

Industry associations wear many hats, traditionally emphasising the sharing of best practice and the development of technical Standards.


Rob Gaimster, Chief Executive

Increasingly however, their role in helping members better understand external issues and contribute their experiences in support of effective lobbying and favourable policy outcomes, has become equally as important.

As illustrated by the examples below, this certainly applies to Concrete NZ, which is currently escalating its advocacy efforts across multiple policy, business and sustainability topics, including climate change.

BUILDING FOR CLIMATE CHANGE - NEW BUILDINGS EMBODIED CARBON ASSESSMENT
Following industry feedback, including from Concrete NZ, the Ministry of Business, Innovation and Employment’s (MBIE) Building for Climate Change team has developed a proposed methodology for assessing the embodied carbon of new buildings in New Zealand.

Concrete NZ’s call for a broader scope that embraces full Lifecycle Assessment and includes a building’s fit-out (e.g. carpet) as well as concrete’s CO2 recarbonation capability has been heeded, along with the need for timber’s biogenic carbon to be reported separately.

While the document - Whole-of-Life Embodied Carbon Assessment: Technical Methodology - is currently not a regulatory document, it is intended to be a high-level technical basis for the proposed future regulation of embodied carbon of buildings.

BUILDING CODE UPDATE
Recent consultation on updating the New Zealand Building Code has been aligned with the Building for Climate Change programme, with MBIE placing a heavy emphasis on improving the energy efficiency of homes.

Seeking to make buildings healthier and more energy efficient, MBIE proposed options to increase the minimum wall and floor (plus roof and windows) insulation levels for new housing, as well as small and large buildings. The proposed options varied across the country based on a new set of climate zones.

The resulting updated R-values for the different building elements in the Building Code Clause H1 Energy Efficiency target a 40 percent reduction in the energy needed to heat and cool residential homes, and 23 percent for large buildings, compared to previous minimum status quo requirements.

Pleased with the outcome, Concrete NZ lobbied hard for the increased R-values to strike a pragmatic balance between reducing emissions from constructing and operating buildings, with cost and material supply considerations.

COMMERCE COMMISSION’S BUILDING SUPPLIES MARKET STUDY
Concrete NZ recently welcomed the opportunity to comment on the Commerce Commission’s consultation - Residential Building Supplies Market Study: Preliminary Issues Paper. The study is looking into whether competition for residential building supplies in New Zealand is working well and, if not, what can be done to improve it.

In response, Concrete NZ emphasised that the Study needs to recognise the current abnormal market drivers and other factors affecting housing affordability, and that it should also consider product durability, embodied carbon (in terms of a full LCA) and environmental impacts.

The Commission subsequently released a paper providing more detail about the approach and next steps for the study. As well as looking at factors affecting competition across the range of key building supplies, the Commission has identified three key building supplies which it will consider in more detail.

It is perhaps not surprising that the three key building supplies are plasterboard, structural timber and concrete (including cement). Concrete NZ has communicated its availability to assist the Commission understand pan-industry characteristics.

CONTINUED ADVOCACY
Government relations, in its many forms, will continue to be a priority for Concrete NZ. More so as the concrete industry tackles the complex issue of climate change through its 2050 roadmap for net zero carbon concrete.

Broad engagement that considers all viewpoints will be crucial to creating a policy framework that encourages real business action towards the common goal of net zero emissions by 2050.