Please turn your device to portrait.
Prefabrication and modular construction to play lead roles in new housing targets with $54 million injection from the Federal Government.
The Federal Government has announced a $54 million funding package to accelerate the adoption of prefabricated and modular construction methods, positioning the sector as a core part of Australia’s strategy to deliver more homes faster. The announcement was made at Fleetwood Australia’s Smithfield manufacturing facility in New South Wales, with key federal and state ministers in attendance. (main pic: Fleetwood’s Kayana home, meaning ‘gathering place’.)
The funding includes $50 million in matched grants for state and territory governments to expand prefab and modular programs, and a further $4 million to develop a national certification system for offsite construction—aimed at reducing regulatory bottlenecks and streamlining project approvals.
“We’re backing Aussie manufacturers to build more quality houses, faster with this investment,” said Minister for Industry and Science Ed Husic. “Making a house in a factory instead of onsite can cut construction time in half.”
The decision to host the announcement at Fleetwood highlights the growing national role of the modular builder, which operates one of the country’s largest manufacturing sites. Fleetwood CEO Bruce Nicholson said the company is ready to contribute to the housing challenge. “We’re proud to support this national mission. With the scale of our operations, our experience across multiple states, and our proven ability to deliver at speed — we’re ready to help build more homes for Australians, when and where they’re needed.”
The $54 million modular construction package forms part of the Albanese Government’s broader $33 billion commitment to housing, which includes social and affordable housing programs, crisis accommodation, and homeownership support.
“We’ve got a big goal to build 1.2 million new homes in five years and to reach that we need to build homes in new ways — using methods like prefab we can build homes up to 50 per cent faster,” said Minister for Housing Clare O’Neil.
The new certification system is expected to provide greater consistency in project approvals and confidence for industry and investors. “For the first time, manufacturers and home owners will have a national certification process to cut the red tape that has been holding back use of these techniques,” Minister Husic added.
NSW Minister for Industry and Trade Anoulack Chanthivong, who also toured the facility, said: “We are excited to see the Federal Government backing local manufacturing that delivers faster and smarter housing solutions for communities.”
