New South Wales has announced a significant delay in adopting the National Construction Code (NCC) 2025, pushing its implementation back to May 2027. This decision aims to provide the state’s construction industry with additional time to adapt to the updated requirements, ensuring the continued delivery of housing while managing compliance risks and project disruptions.
KEY TAKEAWAYS
- NSW and Queensland will defer adoption of NCC 2025 until May 2027.
- The delay is intended to allow the construction industry more time to adjust to changes.
- NSW will introduce state-specific variations, including flexibility in waterproofing for remedial works and exemptions for common areas from new energy efficiency standards.
- Concerns have been raised by industry bodies about potential complexity and cost introduced by variations.
REASONS FOR THE DEFERRAL
The NSW government stated that deferring the adoption of NCC 2025 will offer the construction sector a crucial window to adjust to the new regulations. This extended period is designed to facilitate the ongoing construction of homes and ensure that key amendments can be applied to new building work without causing significant delays. Furthermore, the delay is expected to minimise future compliance risks and disruptions for projects scheduled to commence in early 2025.
STATE-SPECIFIC VARIATIONS
New South Wales plans to implement several state-specific variations to the NCC 2025. Notably, apartment building owners undertaking remedial works will have the option to adhere to either the current NCC’s waterproofing requirements or those outlined in NCC 2025. This flexibility is anticipated to help manage costs for homeowners. Additionally, the new energy-efficiency standards within NCC 2025 will not apply to the common areas of apartment buildings.
INDUSTRY CONCERNS AND IMPACTS
While the delay aims to support the industry, some bodies, such as AIRAH (Australian Institute of Refrigeration, Air Conditioning and Heating), have expressed disappointment. They argue that a choice of NCC editions should have been offered to allow early adopters to access cost savings and productivity gains enabled by the new code. Concerns have also been raised about variations potentially being driven by specific commercial interests rather than unique local needs, adding complexity and cost for the industry and building owners.
THE NATIONAL CONSTRUCTION CODE (NCC)
The NCC serves as Australia’s primary set of building standards, detailing essential requirements for health, safety, amenity, and sustainability. Developed by the Australian Building Codes Board (ABCB) in collaboration with governments, NCC 2025 introduces updates focused on commercial and multi-storey residential buildings. A preview version was released in February 2024, with the full publication scheduled for May 1, 2026, making it available for adoption by states and territories.
SOURCES
- NSW delays adoption of updated building code to May 2027, Architecture & Design.
- NSW and Queensland defer adoption of NCC 2025, HVAC&R News.
- NSW delays NCC 2025 adoption to 2027 to allow sector transition, Build Australia.