Understanding EPBC reforms in Australia: What they mean for your projects

At our first Making Sustainability Happen Live event for 2026, we brought together clients and specialists across the water, energy, built environment, and mining sectors to explore one of the most pressing topics in the market today: Environment Protection and Biodiversity Conservation (EPBC) reforms.

Why EPBC reforms are changing environmental approvals in Australia

The EPBC Act has underpinned Australia’s environmental approvals framework since 1999. However, following a major independent review, the Act was found to be ineffective in protecting environmental values and delivering efficient approvals.

The resulting reform bills, now passed and being rolled out through 2026, aim to address this by:

• Improving assessment timeframes.
• Increasing transparency in decision-making.
• Strengthening environmental protection and enforcement.

Key milestones include initial reforms introduced in February 2026, major changes from July 2026, and full implementation expected by December 2026. While faster approvals will be welcome news, they come alongside stricter compliance expectations and new approval tests.

What is changing in EPBC approvals, and what remains the same

One of the key messages from the event was that much of the existing framework remains intact. The core process from self-assessment through to approval will continue, as will the focus on impacts to matters of national environmental significance, and the Minister retains ultimate decision-making power.

However, several important changes will reshape how projects progress:

New regulators and stronger environmental compliance requirements

Two independent regulators will be introduced from July 2026:

• A National Environmental Protection Agency (NEPA), with enhanced enforcement powers.
• Head of Environment Information Australia, focused on improving environmental data and accessibility.

These changes are likely to result in increased scrutiny, particularly in post-approval compliance, with NEPA having stronger auditing powers and higher penalties than seen in the past under the Act.

Streamlined EPBC assessment pathways for faster approvals

To improve efficiency, existing pathways are being consolidated, alongside the introduction of a streamlined assessment option. At the same time, some pathways, including assessment by referral documentation and Public Environment Reports will be removed.

The intention is a faster, more consistent process, but one that is likely to require stronger upfront information.

New EPBC approval tests and reporting requirements

Two new tests will play a central role:

• No unacceptable impact: projects with unacceptable environmental impacts cannot proceed and must be redesigned.
• Net gain: significant impacts must be offset with a measurable environmental benefit.
• There is also a new requirement to disclose greenhouse gas emissions, alongside mitigation measures and abatement targets, as part of the assessment process.

These tests are expected to drive earlier design changes and more robust impact assessments.

National Environmental Standards and Protection statements explained

National Environmental Standards and Protection Statements will introduce legislated requirements that both proponents and regulators must follow.

For many practitioners, this represents a positive shift towards consistency and should reduce reliance on interpretation, whilst enabling more predictable outcomes across projects, underpinned by improved access to national environmental data (from the EIA).

Restoration contribution

The reforms introduce the option of a restoration contribution, allowing proponents to meet offset requirements through a financial mechanism rather than land-based offsets.

Opportunities created by EPBC reform for project proponents

Despite the scale of change, there are clear advantages emerging, these include:

Greater certainty through consistent environmental assessments: Standardised requirements and clearer definitions should reduce variability in project evaluations, leading to more predictable timelines and more reliable advice for clients.

Potential for faster project approvals: The streamlined pathway offers an opportunity to accelerate approvals, particularly where projects are well-defined and supported by strong baseline data.

Improved project design and planning outcomes: With better environmental and early works data, proponents can refine project design earlier, reducing risk later in the process.

Key challenges of EPBC reform during the transition period

As expected, the transition phase introduces complexity.

Understanding transitional arrangements for your projects
The pathway your project follows will depend on its stage at key implementation dates, with different rules applying to projects already in assessment versus those yet to be referred. This creates strategic decisions about whether to progress now or align with the new framework.

Increased upfront environmental assessment requirements
There is likely to be a greater requirement for detailed ecological and planning information at the referral stage, and whilst this “front-loading” of effort may increase early costs, it also aims to reduce delays later.

Managing uncertainty as reforms are implemented
With many details, including standards and methodologies still being finalised, there is an inevitable period of ambiguity where early projects under the new system may experience some variability as processes settle.

As we continue the Making Sustainability Happen Live series, we’ll keep sharing insights to help you navigate this evolving landscape, and ensure you’re well positioned to move forward with confidence.

How SLR can help

Our Ecologists, Impact Assessment Practitioners, Planners, and water professionals bring in-depth, practical EPBC experience across the infrastructure, mining, energy, and built environment sectors.

Reach out to our team to discuss your project today.