On 28 November 2025, the Australian Parliament passed long-awaited changes to the Environment and Biodiversity Protection and Biodiversity Conservation Act 1999 (Cth) (EPBC Act) have now been introduced, marking the biggest update to Australia’s environmental laws in decades. While the amendments are quite detailed, they are intended to make approvals more efficient, decisions more transparent and environmental protections stronger. The reforms will likely come into effect in mid-2026.
Faster, smarter approvals
One of the biggest (and in our experience, most needed) changes is the new streamlined assessment pathway, which replaces three older, often confusing pathways, being assessment on referral information, preliminary documentation, and public environment reports. The idea is to make the assessment process clearer and more predictable for projects with well-understood impacts.
Under the reforms, when a project is referred as a “controlled action”, the Minister can choose between the following assessment processes:
- accredited state assessment processes under bilateral agreements;
- streamlined assessment;
- environmental impact statement (EIS); or
- public inquiry.
For projects that qualify, streamlined assessments are intended to move quickly, with decisions made within a specific timeframe once all necessary information is provided. It is proposed that decisions under the pathway could be made within 30 business days after the assessment approach is confirmed, though in practice additional information requests and negotiations will likely extend the timeframe.
Clearer tests for approval
The reforms introduce three key tests that guide whether a project can proceed:
- National Environmental Standards (NES): these are binding guidelines for decision making covering matters of national environmental significance (MNES) such as threatened species, heritage sites and water resources.
- Avoiding unacceptable impacts: The EPBC Act will define what is considered an “unacceptable impact,” particularly for species and ecological communities. This includes serious harm to irreplaceable habitat or actions that threaten the survival of a species.
- Net Gain: Any remaining environmental impacts must be offset to ensure an overall improvement in environmental outcomes, moving beyond the previous “no net loss” standard.
The tests also apply to variations or extensions of existing approvals. Projects of national significance can also be approved under a “national interest proposal” exemption, though what qualifies as “national interest” remains broad and will likely be clarified through Ministerial guidance over time.
Early works and reconsiderations
The reforms introduce flexibility for early preparatory works such as minor land clearing or geotechnical surveys which can now occur before formal approval if the Minister gives written consent. This will assist proponents to gather information and prepare assessments without breaching the EPBC Act.
There are also new rules for reconsideration requests, in particular:
- Third parties now have 28 business days to request a reconsideration of a controlled action decision.
- Proponents have expanded ability to request reconsideration of “not controlled action” decisions, offering flexibility to adjust conditions if circumstances change.
Bilateral agreements and state approvals
State and Territory assessment processes will be accredited more flexibly under bilateral agreements, including partial frameworks or non-statutory guidelines. For water-related projects, previous restrictions have been removed, allowing a full handover to state processes provided advice from the Independent Expert Scientific Committee is obtained. This strengthens collaboration with States while maintaining environmental standards.
Climate and emissions information requirements
The reforms establish the National Environmental Protection Agency (NEPA) as an independent regulator responsible for compliance, enforcement, assessment, and setting approval conditions. Projects will be required to provide Scope 1 and 2 greenhouse gas emissions estimates for informational purposes, though these will not affect decision-making.
A statutory head of Environment Information Australia will improve the availability and quality of environmental data, supporting better-informed decisions by government, investors, and developers.
What this means for investors and developers?
For investors and developers, the reforms offer both opportunities and responsibilities. While the streamlined pathways and clearer regulatory framework may accelerate project approvals, the enhanced compliance obligations, mandatory offsets and stronger enforcement powers mean careful planning and environmental due diligence is essential.
