Matt Crockett: Kainga Ora chief executive on the costs of carpeting state homes in New Zealand wool

Kainga Ora's staying tight-lipped on how much it'll cost to carpet state homes in Kiwi wool.

The Government's mandating using woollen fibres in new homes where appropriate from next month - to support the industry.

The same will apply to new state buildings like schools and public service offices. 

Kainga Ora chief executive Matt Crockett says he can't reveal the exact price because of of commercial sensitivities, but it's not expensive.

"Basically, it's cost-neutral - but wool's a great product and we were really pleased with the pricing that came back."

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Episode Transcript

Speaker 1 (00:00):
Here.

Speaker 2 (00:00):
The duplessy Ellen New State homes will be fitted out
with wool carpet after a turn around from coyinga order
earlier this year, KO was instructed by the government to
go with wool over nylon. We're practical and appropriate. Matt
Crockett is the chief executive at KO.

Speaker 1 (00:14):
Hey, Matt, our, good afternoon.

Speaker 2 (00:16):
So is the wool costing less than the nylon?

Speaker 1 (00:20):
I know that that basically it's cost neutral. But Wall's
a great product, and you know, we were really pleased
with the pricing that came back.

Speaker 2 (00:29):
And what does cost neutral mean?

Speaker 1 (00:31):
Well, basically, it's this very similar pricing to the nylon option.
And you know, Wall's a great product.

Speaker 2 (00:38):
So similar but slightly more.

Speaker 1 (00:42):
Look very close, very close.

Speaker 2 (00:44):
So how much does it cost per square meter?

Speaker 1 (00:47):
I don't actually have that figure and that would actually
be commercially sensitive to share.

Speaker 2 (00:52):
So Matte, come on. So the cost of nylon for
you guys is forty three dollars eighteen per square meter?
How much more than that?

Speaker 1 (01:02):
It's cost competitive, it really is. So we haven't traded
away you know, any financial thing. Were Well, no, we haven't.
So so we believe this is cost neutral for a
great product, and that's why we've gone with it.

Speaker 2 (01:20):
How have you worked out cost neutrality? Is it because
you've factored in the longer life or something like that.

Speaker 1 (01:26):
Look, we've looked at a number of different factors, but
the biggest thing has been like as a you know,
as I said in release media release earlier today, we
were really pleased that the quotes that came back were very,
very sharp on the pricing and that's the core part
of it. Really. When can we.

Speaker 2 (01:42):
Find out I mean, if it's if it's if we're
able to find out how much it costs you guys
with nylon per square meter? When will we find out
how much the wall price is per square meter?

Speaker 1 (01:52):
I can't answer that right now?

Speaker 2 (01:55):
Will you tell us?

Speaker 1 (01:58):
Well, there's no reason for us to hide it and
left as something in that that's commercially sensitive and I
will just need to check with my team and given
that we've just come through the process, so I'd rather
get that clear before I say anything on the radio here.

Speaker 2 (02:09):
Okay, Hey, thank you, Matt. I appreciate it. Matt Crockett,
Chief executive of KO What did I tell you BS
that it's cheaper?

Speaker 1 (02:17):
For more from Heather Duplessy Allen Drive.

Speaker 2 (02:19):
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