What do the recent EPBC Act changes mean for you?
19 August 2026
For anyone working in the approvals space, the reform of the EPBC Act is the most significant change that we’ve seen in years. This Environment Express blog post explores some of the changes and gives some suggestions for considerations for those requiring approvals in the future, as well as those already in possession of approvals.
What are some of the key changes to the EPBC Act?
New regulator - NEPA
After years of inquiry, recommendations and law reform, on 1 July 2026 the national Environmental Protection Agency (NEPA) was established. This is a new independent regulatory body responsible for compliance, enforcement and administration of environmental legislation at Commonwealth level, including the assessment and approvals functions under the amended Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act). Other legislation regulated by NEPA includes:
Environment Protection (Sea Dumping) Act 1981
Hazardous Waste (Regulation of Exports and Imports) Act 1989
Ozone Protection and Synthetic Greenhouse Gas (Import Levy) Act 1995
Ozone Protection and Synthetic Greenhouse Gas Management Act 1989
Ozone Protection and Synthetic Greenhouse Gas (Manufacture Levy) Act 1995
Product Emissions Standards Act 2017
Recycling and Waste Reduction Act 2020
Underwater Cultural Heritage Act 2018.
New policies - called National Environmental Standards
Following the passage of the Environment Protection Reform Act 2025 on 28 November 2025, the legislation includes a framework to allow the Minister to make, vary, revoke and apply National Environmental Standards. Standards are being made as legislative instruments and will be enacted by the Environment Protection and Biodiversity Conservation Regulations and supported by guidance material.
To date, consultation has been held on draft standards:
Matters of National Environmental Significance (MNES) Standard
Environmental Offsets Standard
National Environmental Standard for Data and Information
National Environmental Standard for Community Engagement
The Standards have not been formally enacted and have been widely criticised by legal commentators and environmental peak bodies alike for failing to enact the recommendations of the Samuel Review and provide the requisite clarity and confidence needed for users of the scheme to ensure that Standards are meaningful.
Once enacted, a proposal seeking approval will be required to be consistent with the Standards.
No unacceptable impacts
Another key change in the approvals process is that there if an action has an unacceptable impact the Minister must not approve it. An unacceptable impact decision may only be made if the action will have an unacceptable impact as opposed to being likely to have an unacceptable impact.
Requirement for Net Gain
The proposed action must avoid, mitigate, and repair damage to protected matters with any “residual impacts” offset to achieve a “net gain”.
The term “net gain” is not defined within the EPBC Act.
Rather, a draft Environmental Offsets Standard has been introduced for consultation. Once enacted, proponents will need to demonstrate compliance with the standard. Essentially the standard requires that offsets properly make up for the residual significant impacts of a project on a protected matter, in a way that leaves that protected matter in a better position.
If an action will have a residual significant impact, it may nonetheless pass the net gain test if there is a condition for:
a restoration contribution charge - a payment to a fund under the Restoration Contributions Holder that is to be used by the Federal Government to fund biodiversity restoration; and/or
delivery of offsets through the existing offset model whereby proponents can manage restoration and conservation activities.
What should clients looking ahead to project approvals do to prepare?
The reform (which is continuing to be implemented through December 2026) is significant to any client undertaking an activity that may impact upon a matter of national environmental significance (MNES) - a protected environmental value under the EPBC Act.
For those looking to undertake activities or projects regulated by the amended regime, it will be important to familiarise yourself with the changes to the assessment process, including the availability of expedited assessment under a new 30-day streamlined assessment pathway. It will also be important to understand the changes that are likely to flow from the use of updated bilateral assessment agreements with the states and territories (these have not yet been put in place given the national environmental standards have not been enacted).
Critically, at our seasonal winter briefing in July 2026, we discussed that a key aspect of the EPBC Act reform is the technical expertise and independence of the new NEPA. Whilst the requirements and processes under the new scheme are clearly important, it is equally important to realise that high-quality environmental consulting advice and evidence at an early stage of project development is going to be crucial to success. This necessitates engaging early with reputable environmental consultants and developing an approvals strategy that takes account of legal risks and elevated levels of scrutiny going forward. Project delivery (including its very viability, cost and timeliness), social licence and reputation may be adversely impacted if the new paradigm is not appropriately considered.
What should you do if you already hold an EPBC Act approval?
For those already in possession of approvals, the new national Environmental Protection Agency, now has significantly increased powers of enforcement and sanctions (namely significantly higher maximum penalties). NEPA is resourced by sophisticated personnel and is an independent agency. The new powers enable the equivalent of a “stop works” order and higher fines, making the agency a credible deterrent.
Whereas in former years, many organisations may not have given their EPBC Act approvals prominence in their EMS, it is critical to now familiarise yourself with requirements.
Compliance with EPBC Act approvals should be front of mind.
This applies equally to controlled action decisions with conditions, as well as those with particular manner decisions (i.e. decisions that the proposed activity is not a controlled action and thus does not require assessment and approval if the action will be taken in a 'particular manner').
We recommend undertaking a legal review of EPBC Act approvals informed by environmental expert advice to the extent of any doubt and to ensure that organisations are in a strong position to manage any inquiries or enforcement action from the new NEPA.
Next steps
If you are a national or Victorian-based organisation and you would like to find out more about EPBC Act changes as they unfurl over the next several months, we are very happy to provide a briefing to you on the key changes. Please contact Gabrielle Guthrie to find out more.
The legal stuff
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