The Australian government’s 2025-26 Federal Budget emphasises cost-of-living relief and sustainability, with targeted investments in energy efficiency, housing affordability, and green industries.
While major new initiatives for sustainable buildings were absent, the budget signals continued progress toward a net-zero future.
A centrepiece of the budget is the $1.8 billion energy bill relief package, providing $150 rebates to households and small businesses starting July 1, 2025.
This initiative aims to reduce household energy bills by an average of 7.5 per cent and lower inflation by half a percentage point.
Prime Minister Anthony Albanese highlighted this as a critical measure to ease rising costs while advancing overdue reforms for a modern energy grid.
In addition to immediate relief, the government has allocated $2 billion to recapitalise the Clean Energy Finance Corporation (CEFC), supporting renewable energy projects and low-emissions technologies.
These investments build on last year’s budget contributions, which significantly increased clean energy generation and storage across Australia.
The budget also addresses housing affordability through initiatives like the Housing Australia Future Fund and Social Housing Accelerator.
Over five years, the government plans to deliver 55,000 social and affordable homes, supported by $1.5 billion for infrastructure projects such as roads, water systems, and power supply.
Additionally, $54 million will accelerate modern construction methods like prefabrication and modular housing to reduce costs and carbon emissions.
The government’s commitment to green industry development is evident in its $3 billion investment in Australian Made Metals, aimed at reducing embodied carbon in building materials like steel and aluminium.
This initiative not only supports sustainability but also strengthens local supply chains and creates jobs.
Although the budget did not introduce substantial new funding for sustainable buildings, nearly half of the recommendations from Every Building Counts, a strategy launched in 2023 for zero-carbon-ready buildings, are on track for implementation.
GBCA CEO Davina Rooney emphasised the importance of prioritising long-term investments in efficient buildings to lower emissions and create healthier living spaces.
The GBCA welcomed these measures but called for further commitments during the upcoming election campaign to support programs like NABERS and the Australian Building Codes Board.
These initiatives are essential for driving a sustainable built environment.
