❓ Mr. Michel asks how the social housing recovery package will support regional businesses and workers in the Pilbara. The Minister outlines the package's details, including new builds, renovations, and maintenance, highlighting job creation and investment in the region.
AnsweredQoN 425Legislative Assembly
QuestionView source ↗
CORONAVIRUS — SOCIAL HOUSING RECOVERY
PACKAGE
425. Mr K.J.J. MICHEL to the Minister for Housing:
I refer to the severe
impact COVID-19 has had on jobs and businesses, particularly those in regional Western
Australia. Can the minister outline to the house how the McGowan Labor
government's $444 million social housing recovery package will support
regional businesses and workers, particularly those in the Pilbara?
PACKAGE
425. Mr K.J.J. MICHEL to the Minister for Housing:
I refer to the severe
impact COVID-19 has had on jobs and businesses, particularly those in regional Western
Australia. Can the minister outline to the house how the McGowan Labor
government's $444 million social housing recovery package will support
regional businesses and workers, particularly those in the Pilbara?
AnswerView source ↗
It is with great pleasure
that I answer the question of the member for Pilbara. I was just in the Pilbara
with him last week. I really enjoyed my time up there and getting out of Perth
for the first time since the lockdown. I will pick up from where the Premier
left off just now and with something the Treasurer said yesterday when he was
talking with immense pride about something that this government holds; that is,
the $444 million housing stimulation package. This package is a result
of consultation right across the industry and is testament to the fact that
this government has had its ears open and eyes up and is ready to play what is
in front of it. That is what was proposed to us.
I will outline to members the challenges facing the housing
industry. Private builders represent about 66 000 jobs in Western Australia; in fact, housing construction activity represents
about 120 000 jobs. The agreed arrangements around the residential
construction sector in the current market conditions identified that within
about three short months the deal book would
close—the deal flow of housing construction in Western Australia would
fall off a cliff. The Housing Industry Association identified that there
would be as much as a 44 per cent drop in employment in that sector. That is
something that no government could hear and do nothing about. The McGowan
government, through strong leadership, identified the capacity of the budget
discipline of three years to bring to bear on the challenges for that industry
and came up with $444 million package, $319 million of which will be for social
housing. As the Premier correctly identified, that will build 250 new homes,
but, more importantly, it will renovate 1 500 homes.
The point I make about the
renovation as opposed to maintenance, which is another part of the package, is
that this is not about painting and papering; this is about deep
renovation of properties—walls, roofs, electrical, plumbing, you name
it. That will take up multiple trades. The important point here is that a large
percentage of those 1 500 homes—I will get the numbers in due course—are
actually at the end of their life. The average age of 36 500 social housing
dwellings in Western Australia is about 44 years. Some of those dwellings are
at the end of their economic life and needed to be disposed of. We now have an
opportunity to turn that around. We will turn those houses into new houses,
virtually, and turn them back into stock and get 20 or 30 more years out of
them. It is a fantastic package that has identified a requirement to maintain
support in the industry whilst building jobs. As a Labor man, I am proud to be
part of a government that actually takes social housing seriously.
This goes on top of the $150 million the Premier's announced
on 9 December as part of a $220 million housing and homelessness package, and
on top of the $394 million for the Metronet precinct program, which we
announced when we came to government. This government takes housing seriously.
It takes social housing seriously. It knows that the interaction between public
capital and private capital needs to work in tandem. When private capital is
timid, public capital needs to be brave. It has been very brave here. We have
seen the uptick and we are thanked by the industry.
My final point is directed to the member for Pilbara, whom I enjoyed
travelling with recently. The $80 million maintenance package is separate; it
is for all government housing, including GROH housing. We will be attending to
2 500 dwellings within the Pilbara and will be doing 130 refurbishments. That
will equate to over 400 jobs in not just the Pilbara but the wider region.
Again, this is a demonstration that the government understands the link between
capital and words.
that I answer the question of the member for Pilbara. I was just in the Pilbara
with him last week. I really enjoyed my time up there and getting out of Perth
for the first time since the lockdown. I will pick up from where the Premier
left off just now and with something the Treasurer said yesterday when he was
talking with immense pride about something that this government holds; that is,
the $444 million housing stimulation package. This package is a result
of consultation right across the industry and is testament to the fact that
this government has had its ears open and eyes up and is ready to play what is
in front of it. That is what was proposed to us.
I will outline to members the challenges facing the housing
industry. Private builders represent about 66 000 jobs in Western Australia; in fact, housing construction activity represents
about 120 000 jobs. The agreed arrangements around the residential
construction sector in the current market conditions identified that within
about three short months the deal book would
close—the deal flow of housing construction in Western Australia would
fall off a cliff. The Housing Industry Association identified that there
would be as much as a 44 per cent drop in employment in that sector. That is
something that no government could hear and do nothing about. The McGowan
government, through strong leadership, identified the capacity of the budget
discipline of three years to bring to bear on the challenges for that industry
and came up with $444 million package, $319 million of which will be for social
housing. As the Premier correctly identified, that will build 250 new homes,
but, more importantly, it will renovate 1 500 homes.
The point I make about the
renovation as opposed to maintenance, which is another part of the package, is
that this is not about painting and papering; this is about deep
renovation of properties—walls, roofs, electrical, plumbing, you name
it. That will take up multiple trades. The important point here is that a large
percentage of those 1 500 homes—I will get the numbers in due course—are
actually at the end of their life. The average age of 36 500 social housing
dwellings in Western Australia is about 44 years. Some of those dwellings are
at the end of their economic life and needed to be disposed of. We now have an
opportunity to turn that around. We will turn those houses into new houses,
virtually, and turn them back into stock and get 20 or 30 more years out of
them. It is a fantastic package that has identified a requirement to maintain
support in the industry whilst building jobs. As a Labor man, I am proud to be
part of a government that actually takes social housing seriously.
This goes on top of the $150 million the Premier's announced
on 9 December as part of a $220 million housing and homelessness package, and
on top of the $394 million for the Metronet precinct program, which we
announced when we came to government. This government takes housing seriously.
It takes social housing seriously. It knows that the interaction between public
capital and private capital needs to work in tandem. When private capital is
timid, public capital needs to be brave. It has been very brave here. We have
seen the uptick and we are thanked by the industry.
My final point is directed to the member for Pilbara, whom I enjoyed
travelling with recently. The $80 million maintenance package is separate; it
is for all government housing, including GROH housing. We will be attending to
2 500 dwellings within the Pilbara and will be doing 130 refurbishments. That
will equate to over 400 jobs in not just the Pilbara but the wider region.
Again, this is a demonstration that the government understands the link between
capital and words.
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