National Recovery and Resilience Agency head Shane Stone criticised flood victims for attacking the government after natural disasters.

"You've got people who want to live among the gum trees, what do you think is going to happen? Their house falls in the river, and they say it's the government's fault," Mr Stone told the Nine newspapers.

Mr Stone, a former Liberal chief minister of the Northern Territory who was appointed by Scott Morrison to the agency role, called for an end to development on flood plains and said residents had to "face realities".

"Australians need to have an honest conversation about where and how people build homes," he said.

"The taxpayer and the ratepayer cannot continue to pick up the bill for these huge, catastrophic damage events."

Despite members of Labor, such as Queensland senator Murray Watt calling for Mr Stone to step down from the position following the remarks, the head of the agency doubled down.

"The senator has been trying to get me sacked for a while, I mean, this is a hard job," he told Sky News on Friday.

"There was nothing flippant about it at all ... we've got people in the bushfire zone who are wanting to go back and build exactly where they were before."

Mr Stone said the conversation about what should happen following natural disasters had started, and teams were already on the ground.

"People can be reassured that we are there to help," he said.

"We are there to help the survivors, and we'll do everything we can. That other conversation will be ongoing."

Senator Watt said Mr Stone should no longer be in his position in the agency.

"Shane Stone should be sacked today. Scott Morrison's mate and hand-picked disaster tsar blames flood victims for their hardship," he said.

"Tell that to businesses in the main streets of Lismore and Ballina and the residents of Brisbane, Ipswich and Logan, who are cleaning up today."

Deputy Prime Minister Barnaby Joyce said homeowners had to accept the risks of choosing to build in places susceptible to natural disasters.

"If I build my house on an alluvial floodplain, then I've got to expect from time to time there will be floods," Mr Joyce told reporters in Orange.

"If you accept the risk and are prepared to wear the risk, then I suppose you can build your home where the local government authority allows you to build it."

Emergency Management Minister Bridget McKenzie defended Mr Stone's remarks, calling him a straight shooter.

"Where we've chosen to settle in this country has been a matter of debate for a long time," she told reporters in Canberra.

"This has been a topic of conversation that comes up after every natural disaster."

Chief executive of the Insurance Council of Australia Andrew Hall said the recent floods reinforced the need for further discussion on how best to rebuild following floods.

"I welcome comments by NRRA head Shane Stone and look forward to taking up this issue with state and federal governments in coming months," he said.

Mr Hall also called for a review of land use planning arrangements.

Australian Associated Press