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Australian construction sector welcomes EPBC reforms

28 Nov, 2025
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The Australian Senate passed long-overdue reforms to the Environment Protection and Biodiversity Conservation (EPBC) Act on November 27, 2025, marking the most significant overhaul of the nation’s primary environmental legislation in over two decades.

The EPBC Act, enacted in 1999 and effective from July 2000, provides a national framework for protecting matters of national environmental significance, including threatened species, ecological communities, world heritage sites, and the sustainable use of natural resources.

It requires federal approval for projects likely to significantly impact these areas, aiming to balance development with biodiversity conservation through assessments managed by the Department of Climate Change, Energy, the Environment and Water.

These reforms, introduced as a package of seven bills in late October 2025, address chronic delays in the approval process, which have bottlenecked housing and infrastructure projects.

Key changes include creating a National Environment Protection Agency for enforcement, introducing National Environmental Standards, and clarifying “unacceptable impact” definitions to provide greater certainty for proponents while strengthening penalties for non-compliance.

The updates follow the 2020 Samuel Review, which highlighted weak enforcement and inefficient processes under the original Act.

Industry advocates hailed the passage as a breakthrough for housing supply amid Australia’s affordability crisis.

Matthew Kandelaars, Group Executive of Policy and Advocacy at the Property Council of Australia, stated: “A broken system without friends is behind us.”

Kandelaars said the reform brings an end to years of uncertainty, marking the most substantial update to environmental legislation in decades.

He said major housing developments that increase national supply will now avoid lengthy approval delays, describing the outcome as a positive step for business, investment, and the environment alike.

He emphasised the property sector’s heavy reliance on the EPBC Act for housing, commercial, and industrial developments, noting over 26,000 homes stalled by “unnecessary green tape”.

Kandelaars further praised the balanced framework: “The new laws create a balanced framework that gives businesses greater certainty, supports better environmental outcomes and speeds up housing supply.

“The property sector is the largest user of the EPBC Act, covering everything from new housing to commercial and industrial projects.

“The industry has long called for reform, and a deal to pass these laws today marks a significant step forward.”

The reforms also refine offset rules via a Restoration Contributions framework and promote devolution of powers to states, potentially cutting approval times from years to months.

Looking ahead, refinements to “unacceptable impact” clarity are expected before final implementation, alongside ongoing work on National Environmental Standards.

Kandelaars added: “We are pleased that government has listened and will deliver important refinements to improve the clarity of ‘unacceptable impact’ definitions before the bills pass later today.”

Kandelaars said the organisation welcomes constructive collaboration on developing the new National Environmental Standards, but stressed that the immediate priority should be maintaining the existing housing taskforce to eliminate the backlog of housing approvals through the remainder of the National Housing Accord.

He noted that more than 26,000 homes had been stalled by unnecessary regulatory delays, and urged the continuation of the task force, describing it as vital to boosting housing supply and delivering tangible results.

Kandelaars emphasised that increasing the number of homes is the key to addressing the nation’s housing affordability challenges, calling the policy a clear and effective way to lift productivity.

The changes promise faster decisions for priority sectors like renewables and critical minerals, ensuring environmental protections evolve with national needs.

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