In the 2016/17 budget, the Treasury Cabinet Secretary scrapped the National Environment Management Authority (Nema) and National Construction Authority (NCA) construction levies. This was to supposedly lower building cost and foster development of affordable housing, ultimately reducing our housing deficit. As is custom of such public showbiz moves, no data was tabled as to how these levies had contributed to the high building cost and hence their removal would significantly make housing affordable.
It is close to two years now and as before I still dearly hold that this was a wrong move by the government. Considering other factors, not for this discussion, the move to scrap these levies is at the bottom of the list if meaningful reduction of building cost is to be realised. If anything the cost of construction and by extent houses has continued to soar in the last two years. Taxpayers, however continue to painfully fund these two bodies through the exchequer at the expense of more profits for developers. The intended goal has not been met; therefore the levies should return.