Victoria has put the shortage of timber and other building materials under the spotlight as the state moves to address supply constraints.

Victorian Assistant Treasurer and Minister for Regulatory Reform Danny Pearson has asked Better Regulation and Red Tape Commissioner Anne Cronin to investigate timber shortages and other supply-side issues which are currently facing the state’s construction sector.

The move, which was not well publicised, was mentioned in The Age.

A spokesperson from the Department of Treasury and Finance has since confirmed this with Sourceable.

The Commissioner has been asked to examine both the reasons for the shortage of timber and any other supply-side challenges for the state’s building sector along with options to address these challenges.

She will report back to the Minister by the end of September.

The move comes amid broader concerns about the availability of building products both around Australia and throughout the world.

Particularly impacted have been timber supplies.

According to a recent analysis by the Master Builders Association of Victoria, wait times for supplies of frame and trusses and laminated veneer timber have blown out from four weeks to sixteen weeks and from 1.5 weeks to sixteen weeks respectively.

Those for mesh and pods, windows and bricks have increased from two, four and two weeks to six, eight and four weeks.

When supplies are available, work can be delayed by a shortage of tradespeople.

The shortage of products is being driven by a combination of record levels of activity in new detached house construction and home renovations along with a global shortage of shipping containers and the destruction of softwood plantations during the black summer bushfires.

The material shortage is also driving up prices and placing pressure on builder margins – with many on fixed-price home building contracts.

Master Builders Association of Victoria CEO Rebecca Casson welcomed the referral.

“We applaud the Victorian government for referring this matter to the Commissioner, which arose following discussions between Treasurer Tim Pallas, MBV and industry leaders amid growing concerns about building and construction material shortages,” she said.

“The Commissioner is in a unique position to consider these supply chain issues, especially given her role in chairing the expert panel for the Building System Review and regular engagement with key stakeholders.

“We understand that the review will investigate whether there are any regulatory barriers in the supply chain for building materials, particularly timber.

“MBV looks forward to the Commissioner further investigating this important issue and hearing her advice.”

Concerningly, Casson said thefts from building sites have increased – particularly in regional Victoria.

She encouraged all builders to be vigilant about security measures on site.