Unlocking economic growth: Our call for regulatory reform

Australia’s caravan and camping industry plays a vital role in supporting domestic manufacturing, tourism, and regional development. However, regulatory fragmentation and market inefficiencies are limiting the sector’s ability to reach its full economic potential.

To address these challenges, Caravan Industry Association of Australia recently made a submission to the Federal Government’s Productivity Commission. The submission outlines key productivity barriers and offers practical, nationally scalable reforms.

Here’s a summary of our key recommendations:

Electrical licensing harmonisation
A fragmented national approach to electrical trade licensing undermines workforce mobility and imposes significant productivity losses on RV manufacturers. Caravan Industry Association of Australia advocates for full AMR coverage, modular certification, and digital licensure verification.

Operational standard harmonisation for caravan holiday parks
The absence of national standards for caravan holiday park operations leads to inconsistent compliance, deterring investment and creating inefficiencies. Caravan Industry Association of Australia proposes a model code adaptable to local development contexts.

Market distortion from state-sponsored free camping
Unregulated free camping undermines private investment in compliant tourism infrastructure and distorts fair market competition. Caravan Industry Association of Australia calls for regulatory parity or cessation of government-backed free camping schemes.

Infrastructure grants
Economic modelling shows infrastructure grants to caravan holiday parks vastly outperform free camping in return on investment and regional job creation, supporting policy realignment toward structured funding.

International best practice
Lessons from New Zealand and the UK highlight how national regulatory cohesion and segmented standards can protect consumers, support innovation, and improve compliance efficiency without stifling diversity.

Domestic manufacturing competitiveness
With 44 per cent of Australia’s RVs now imported, local manufacturers face unfair competition due to asymmetric regulation and labour standards. Caravan Industry Association of Australia proposes a suite of pro-manufacturing policies, including investment allowances, harmonised codes, and local supplier support.

Addressing regulatory inconsistencies and market distortions has the potential to unlock significant economic gains across the Australian caravan and camping sector. Caravan Industry Association of Australia is ready to work with the Federal Government to get these reforms moving, ensuring the long-term sustainability of one of Australia’s most economically significant industries.