Federal Parliament passes long-awaited reforms to Australia’s environmental laws

Federal Parliament has passed long-awaited reforms to Australia’s environmental laws after Labor agreed to a deal with the Greens to get it through Parliament in its last sitting week of the year.

In an extended Friday sitting, the House of Representatives ushered in the most significant overhaul of environmental laws in decades, passing the bill 89–34.

Prime Minister Anthony Albanese called it a historic day, describing the reforms as a “a win for business, a win for our natural environment, and a win for the country”.

“They mean more investment, more jobs, more housing and more infrastructure,” he said

“They protect something that every Australian values and has a deep connection to; our treasured and unique natural environment.

“We know that the current laws are broken. Today, we fix them.”

Opposition Leader Sussan Ley, accused Labor of signing “economy-wrecking” concessions with the Greens to ram the Bill through Parliament.

Ms Ley accused the parties of bringing the “Labor-Greens Alliance back in business” for cutting a “lazy deal with the Greens”.

“This is economy-wrecking. There were people the Prime Minister didn’t reference in his remarks that need to be referenced, these are the people who pay the country’s bills, who provide jobs, who make our country strong, and who have been completely ignored by the Bill and by the amendments,” she said.

The Opposition Leader also pointed to the Minerals Council of Australia calling the changes “inferior” and energy producers saying it will “put approvals in the slow lane”.

“You have no gas strategy now. You have nothing to provide the power and the affordability to bring people’s energy prices down,” Ms Ley said.

Australian Energy Producers chief executive Samantha McCulloch had argued the deal was a major missed opportunity which could jeopardise critical projects and threatens future gas supply needed for Australia’s energy transition.

“An agreement with the Greens on environmental law reform is a squandered opportunity to address the significant costs and delays in delivering gas to Australian consumers,” she said.

“Carving gas out of streamlined reforms is simply not in the national interest. The deal will entrench slow approvals which will drive up energy costs, deter investment and further delay the new gas supply Australia urgently needs.”

Minerals Council of Australia boss Tania Constable claimed the EPBC reform package failed to strike the right balance.

“(The Bill) is an inferior and disappointing outcome which fails to strike the right balance between protecting Australia’s unique environment while enabling responsible and efficient project development,” she said.

She said the changes “increase red tape” and “could open new avenues for legal challenge.

Meanwhile, shadow environmental minister Angie Bell and Liberal Senator Jonathon Duniam, who helped lead Coalition’s negotiations, had also accused Labor of a “dodgy, dirty deal” struck in the middle of the night with its “natural bedfellows”, the Greens.

Senator Duniam had said the Coalition were caught off guard and thought they were still locked in talks when the deal was announced in the prime minister’s courtyard on Thursday morning.

Mr Albanese hit out at the Coalition over their handling of negotiations on the environmental laws.

He accused the Coalition of being a “mess” when responding to Labor’s “good faith negotiations”.

“Tragically, the mess that sits opposite us was incapable of coming up with plans that were consistent, that made sense,” the PM said during a speech in the House.

“They changed their position from hour to hour, coming up with furphies about radioactivity and all sorts of things that needed to be included.”

He also accused them of “ignoring” the major review of Australia’s environment laws they commissioned Professor Graeme Samuel to undertake while Ms Ley was then-Environment Minister.

Mr Albanese thanked Environment Minister Murray Watt for getting the deal across the line after 120 meetings since taking on the portfolio from Tanya Plibersek after their May 3 election win.

In a press conference after the laws passed Mr Watt said the newly passed environmental laws marked “a great day for Australia’s environment”, arguing they provide a balanced outcome for both the environment and business.

He rejected claims by the Opposition that the reforms would shut down native forestry and said key sectors, like agriculture, would be able to continue operating under the changes.

The legislation amends the Environment Protection and Biodiversity Conservation Act 1991.

The rubber-stamping of the laws handed Mr Albanese a major political win on the final sitting day of the parliamentary year.

Before his appearance in the House, the PM had decided to start his morning by walking to work from The Lodge.

“What a beautiful environment. It’s a good day for the environment,” Mr Albanese had said, as he arrived at Parliament.

The House has adjourned until February 3 — which will be the first sitting day of 2026.