Insight,

Mark your calendars: EPBC Act Reform commencement through 2026 and beyond

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In late November 2025, Parliament passed the most significant overhaul of Australia’s federal environmental laws under the Environment Protection and Biodiversity Conservation Act 1999 (Cth) (EPBC Act) in more than two decades.

The reform package spans seven Acts, including:

  • the Environment Protection Reform Act 2025 (Cth) (Reform Act);
  • the National Environmental Protection Agency Act 2025 (Cth) (NEPA Act);
  • the Environment Information Australia Act 2025 (Cth) (EIA Act); and
  • the Environment Protection and Biodiversity Conservation (Restoration Charge Imposition) Act 2025 (Cth) (Restoration Charges Imposition Act).

For a deeper dive into the substance and implications of these reforms, see KWM’s earlier analysis of the reform architecture and commencement pathways.

The reforms will be implemented progressively through to 2028, allowing the Department of Climate Change, Energy, the Environment and Water (DCCEEW) and the Federal Environment Minister time to finalise the remaining policy instruments and operational arrangements underpinning the reforms.

This update walks through the reform rollout schedule, highlighting key commencement dates and flagging changes that have already taken effect.

Key Dates at a Glance

DATE
KEY DEVELOPMENT

28 November 2025

EPBC reform package passed by Australian Parliament

1 December 2025

Royal Assent (Act No. 68 of 2025)

2 December 2025

New Part 19B of the EPBC Act commenced, providing framework to make National Environmental Standards

Provisions narrowing section 43B ‘continuation of use’ exemption for certain land clearing commenced

5 December 2025

Submissions for Senate Committee Inquiry closed

19 December 2025

EPBC Regulations 2025 (Cth) replace EPBC Regulations 2000 (Cth) in substantially the same form with only minor corrections

30 January 2026

Consultation closed on draft National Environmental Standards for matters of national environmental significance and environmental offsets

March / April 2026

Suggested date of release for National Environmental Standards for matters of national environmental significance and environmental offsets

24 March 2026

Senate Committee Inquiry report due

1 July 2026

NEPA Act commencement and establishment of the National Environmental Protection Agency

Environment Information Australia functions commence under the EIA Act

1 December 2026

Commencement of remaining EPBC reform package provisions

1 July 2027

EPBC exemption for Regional Forest Agreement activities sunsets

15 December 2028

Latest date for Environment Information Australia to release its first State of the Environment Report

Key Milestones

December 2025

The reforms were granted Royal Assent on 1 December 2025.

On 2 December 2025, new Part 19B of the EPBC Act commenced. Part 19B establishes the framework for the development of National Environmental Standards (NES or Standards), enabling consultation and finalisation ahead of later amendments to the EPBC Act. The NES are discussed in further detail below.

On the same day, amendments narrowing the section 43B ‘continuation of use’ exemption for specified vegetation clearing also commenced. An EPBC Act approval will now be required for vegetation clearing that will have, or will likely have, a significant impact on a matter of national environmental significance (MNES) where:   

  • the vegetation is within 50 metres of a Great Barrier Reef catchment watercourse, wetland or drainage line; or  
  • the vegetation is anywhere in Australia and has not been cleared for 15 years or more, where the clearing is not part of a forestry operation.   

Contravention of these provisions is an offence. Compliance will be enforced by DCCEEW until the NEPA is established.

The Senate Environment and Communications Legislation Committee inquiry continued despite the reforms having passed. Submissions closed on 5 December 2025, and the Senate Committee Report is due in March 2026.

Finally, on 19 December 2025, the Environment Protection and Biodiversity Conservation Regulations 2025 (Cth) (EPBC Regulations) replaced the earlier 2000 EPBC Regulations. The new Regulations are substantially the same as their predecessors, incorporating only minor corrections and updates to align with the reform package.

Together, these early changes signal the practical commencement of the reform framework, notwithstanding the staged implementation of the broader package through to 2028.

January 2026

The first legislative Standards:

  • Standard for Matters of National Environmental Significance (MNES Standard); and
  • Standard for Environmental Offsets (Offsets Standard),

were released in draft form for public consultation alongside the reform package.

Public consultation on these draft Standards closed on 30 January 2026. Following consideration of stakeholder feedback, the Standards will be revised and released for a further consultation period of at least 20 days before finalisation.

These draft Standards provide an early indication of how the reformed EPBC Act framework is intended to operate in practice. Proponents should have regard to the Standards during early stages of project planning, as the Minister must be satisfied that proposed actions and approval conditions are consistent with the relevant Standards when determining whether to approve a project.

For the MNES Standard, this will mean ensuring actions appropriately adopt the hierarchy of controls to mitigate direct and indirect impacts, with offsetting impacts only adopted as a last resort where there are residual significant impacts (not as the default).

For the Offsets Standard, where offsetting of residual significant impacts is required, proponents will need to demonstrate compliance with the following eight principles: feasibility, security, direct and tangible, net gain, additionality, like-for-like, relevant area, and delivery prior to impact.

March / April 2026

Following consultation, the MNES Standard and Offsets Standard are expected to be finalised in March or April 2026.

Separately, the Senate Environment and Communications Legislation Committee is due to report on the reform package by 24 March 2026. The Committee’s inquiry is expected to consider the NES and the new EPBC Regulations, notwithstanding that the primary legislation has already been passed.

This process may inform further refinements to the supporting Standards framework as implementation progresses.

July 2026

The National Environmental Protection Agency (NEPA) and Environment Information Australia (EIA) are scheduled to commence operations on 1 July 2026. This commencement will trigger the consequential delegation of regulatory compliance and enforcement functions to the NEPA Chief Executive Officer, with data-related functions delegated to the Head of the EIA.

From commencement, the NEPA will assume responsibility for new compliance, assurance and enforcement functions (including the power to issue environmental protection orders), while EIA will take on national environmental data stewardship and responsibility for independent State of the Environment reporting.

This marks a key institutional shift in the administration and enforcement of Australia’s federal environmental framework. 

December 2026

The remaining provisions of the reform package will commence on 1 December 2026, unless brought forward by proclamation. These include provisions relating to:

  • the streamlined approval process and approval thresholds;
  • ‘unacceptable impacts’ definition for each matter protected under Part 3;
  • greenhouse gas emissions reporting;
  • bioregional planning; and
  • the Restoration Charges Imposition Act.

Accordingly, December 2026 marks the point at which the remaining EPBC Act amendments take effect, completing the core legislative elements of the reform package. Refer to our previous alert regarding commencement pathways for key transitional provisions, in particular those relating to projects already referred for a decision and assessment.

From 1 December, proponents will also face a materially tougher compliance landscape under the EPBC Act, with significantly increased penalties linked to the commercial benefits of non‑compliance and, for corporates, potentially to annual turnover. With NEPA operational from mid‑2026, early planning and robust compliance systems will be critical to managing regulatory risk.

This new framework will apply only to contraventions which occur wholly on or after 1 December 2026 (or such earlier date of commencement by proclamation).

The changes affect the maximum civil penalty amounts for contraventions of civil penalty provisions under:

  • Part 3 – Environmental Approvals;
  • Part 12A – Bioregional Planning; and
  • section 142(1) – Compliance with Approval Conditions.

The new civil penalty framework is designed to account for the benefits gained or detriments avoided by non-compliance, ensuring that non-compliance is not treated as merely a cost of doing business.

New maximum civil penalties

For individuals, the maximum penalty will be the greater of:

  • 5,000 penalty units ($1.65 million), which is unchanged from the current EPBC Act; or
  • three times the total value of any benefit obtained or detriment avoided as a result of the contravention.

For body corporates, the maximum penalty will be the greater of:

  • 50,000 penalty units ($16.5 million), which is unchanged from the current EPBC Act; or
  • three times the total value of any benefit obtained or detriment avoided as a result of the contravention; or
  • 10% of the company's annual turnover for the 12-month period ending in the month of the contravention, capped at $825 million.

July 2027

The existing exemption for ‘Regional Forest Agreement activities’ from EPBC Act approval will end on 1 July 2027.

From that date, forestry actions with a potential significant impact on MNES will require EPBC assessment and approval, and will need to demonstrate compliance with applicable National Environmental Standards.

The Government has indicated that forestry activities currently regulated under Regional Forest Agreements may ultimately be addressed through new regulatory arrangements, including the potential use of bilateral approval agreements with State governments.

This represents a significant shift for forestry proponents previously operating outside the EPBC federal approval regime.

December 2028

The EIA must publish its first State of the Environment Report by 15 December 2028 and will be required to publish updated reports on a biennial basis thereafter.

On the Horizon

The Government has indicated it will commence consultation in early 2026 on the development of additional National Environmental Standards recommended in the 2021 Samuel’s Review, including:

  • a First Nations Engagement Standard;
  • a Community Consultation Standard; and
  • a Data and Information Standard.[1]

Drafting of the First Nations Engagement Standard is reportedly well advanced and expected to be released in early 2026. It is intended to replace the current interim guidance and to embed early, proportionate and culturally appropriate engagement with First Nations communities on environmental matters of concern.[2]

The Community Consultation Standard is less advanced but has been identified as an early priority for consultation in 2026. To date, no further details have been provided on the scope of the Data and Information Standard.

Key Takeaways

  • This is a long‑term regulatory reform with near‑term implications
    The EPBC reforms represent the most significant reset of Commonwealth environmental regulation in over two decades. While implementation is staged through to 2028, several changes are already in force and others will materially reshape approval, compliance and enforcement risk from 2026.
  • Regulatory oversight will become more active and more independent
    From 1 July 2026, the establishment of the National Environmental Protection Agency (NEPA) marks a shift toward a more assertive, compliance‑led federal regulator, with enhanced enforcement tools and penalties supporting its role.
  • December 2026 is a pivotal risk inflection point
    The commencement of the remaining EPBC Act amendments (including greenhouse gas emissions reporting, bioregional planning reforms and a new civil penalty framework) will materially increase exposure for governed entities and directors where compliance failures occur.
  • Penalties are now aligned to commercial impact, not just breach severity
    The new penalty framework links maximum civil penalties to the benefit obtained from non‑compliance and, for corporates, potentially to annual turnover. This significantly escalates financial, reputational and governance risk associated with environmental non‑compliance.
  • Historical assumptions and exemptions are falling away
    The sunset of the Regional Forest Agreement exemption in July 2027 illustrates the broader policy direction: legacy arrangements and carve‑outs are being narrowed or removed in favour of nationally consistent standards.
  • Environmental governance expectations are expanding
    Forthcoming National Environmental Standards, particularly around First Nations engagement and community consultation, will embed process and engagement expectations directly into approval and assessment pathways, increasing scrutiny of early project decision‑making.
  • Early engagement and oversight are critical
    Proponents should ensure environmental approvals, emissions reporting capability, and compliance systems are reviewed and strengthened well ahead of the 2026–2027 commencement milestones.

 

Second Reading Speech, Reform Bill.  

Commonwealth, Parliamentary Debates, Senate, 27 November 2025, 41 (Senator Murray Watt). 

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