The Western Australian Craftsmen’s Association (MBA WA) welcomed the announcement of a state budget for 2022-23 that supports the construction industry and follows many of the recommendations we presented to Prime Minister Mark McGowan.
The WA MBA urges the state government to implement initiatives to help the $ 29.3 billion construction industry in ongoing challenges, supporting it in completing existing projects and confidently bidding on future critical infrastructure and social housing projects.
If the construction industry is to provide a record $ 33.9 billion in infrastructure investment and help the state’s economy emerge from the COVID-19 pandemic, then key issues need to be addressed.
Meetings with the state government provided the WA MBA platform to provide the government with a set of recommendations to address these issues, both in the short and medium term.
The construction industry has long struggled with supply chain pressures, operating in an unprofitable boom, so we are excited to see the state government intervene and implement recommendations to support the industry in the current crisis of spending and cash flow.
Here is a summary of what is provided by the construction industry from the state budget:
- $ 30 million financial assistance scheme to help major contractors with rising costs for projects from the Department of Finance and the Department of Communities facing unforeseen impacts on supply chains
- Mr McGowan will call on major banks to have a flexible approach to payments and cash flow support for Western Australian builders
- Provisions for growth and decline will be included in future government contracts
- Review deadlines for a number of government projects to better account for current market conditions
- Educational campaign for consumers affected by construction delays is conducted by the Department of Mining, Industry Regulation and Safety – Construction and Energy
- $ 1.5 million to a foreign marketing company to attract construction workers from abroad to help our local professions and students
More needs to be done to support residential builders who have been a driving force in the state’s economy, and non-residential builders working on state government projects.
Public procurement must also move towards creating a more viable and sustainable construction industry for all, so we look forward to the presentation of these recommendations soon.
We are pleased that the state government has heard our concerns and has implemented most of these recommendations. Thanks to the feedback and advice we have received from the industry and our members, we have achieved this victory in advocacy.
The WA MBA will continue to fight on behalf of the industry to create a better industry for all. We will continue to receive updates for our members, so if you are not a member and do not receive our latest updates, become a member today.
Talk to our team of friends at 9476 9800 or email email@example.com.
Questions and Answers with MBA Director of Housing and Construction Jason Robertson
I was about to start building my house and came across the term “bad weather”.
How does this relate to the construction of my home?
How Game of ThronesSaid, “Winter is coming.”
This leads to an important but often overlooked question – there are many, many things that are beyond the control of the builder.
Builders are often blamed for certain things that are beyond their direct control. One of them is bad weather.
This mainly refers to rain or abnormal climatic conditions. Of course, such weather can delay work and easily extend the time to complete construction.
Because bad weather is beyond the control of the builder, the allowance is usually taken into account in every housing contract.
This means that the end date of the contract may be postponed for a certain number of days if bad weather has prevented the work.
This can be frustrating for all parties, and as always, it is best to report any issues and questions.
In any environment, but certainly now in this environment COVID-19 and will lead to winter will be inevitable and unforeseen delays.
Good luck in construction.
CONTACT Master Builders WA, 9476 9800, www.mbawa.com