On 6 May 2026, the NSW Government introduced the Energy Legislation Amendment (Prioritising Renewable Energy) Bill 2026 (Bill) to parliament. The Bill proposes changes to NSW planning laws that would, if passed, remove some obstacles facing renewables projects in their dealings with public authorities and objectors. It comes in the wake of renewables projects such as the Hills of Gold Wind Farm having to fight off Court appeals brought by objectors about projects that had already been subject to thorough assessment and approval. Importantly, if the Bill is passed, more renewable energy projects may be subject to public hearings by the Independent Planning Commission (IPC) which would effectively limit merit appeals of decisions to approve or refuse projects.
The reforms aim to deliver greater urgency from Government to prioritise projects that drive the energy transition.
Summary of Bill
The Bill amends the Electricity Supply Act 1995 (NSW) and the Environmental Planning and Assessment Act 1979 (NSW) (EP&A Act) and includes reforms to:
- empower the NSW Energy Minister (or their appointee) to declare priority energy projects (PEP) to accelerate assessment and approval of renewables projects;
- vary the role of the IPC and expand the role of the Planning Minister; and
- amend planning agreement provisions, including to enable the Planning Minister to add legal force to the existing Benefit Sharing Guideline (November 2024).
New Priority Energy Projects
The Bill introduces a power for the NSW Energy Minister to declare certain renewable energy projects to be a ‘Priority Energy Project’ (PEP). Projects capable of being declared a PEP are projects for:
- transmission and distribution infrastructure;
- renewable energy generation,
- energy storage or firming infrastructure, being infrastructure that:
- includes battery storage, gas-fired firming generation or pumped hydro, and
- does not include storage or firming infrastructure that requires coal-fired energy generation or nuclear energy generation.
PEPs would be fast tracked via the new Development Coordination Authority which was established in December 2025 and commences operations on 1 July 2026. The Bill contains a new power for the Minister to direct the DCA, which the Minister has said will be used to direct the DCA to prioritise PEPs. But the power could also be used more broadly for other kinds of development.
The Bill seeks to expand the Minister’s powers to declare PEPs as State significant development (SSD) (without advice from the IPC, as is currently required), or as State significant infrastructure (SSI). This would expand the types of renewable energy-related development that is classed as SSD or SSI, centralising responsibility for such projects with the Planning Minister and Department of Planning, Housing and Infrastructure rather than local councils.
Varied role of IPC and Minister
The Bill clarifies that the IPC’s functions include to hold public hearings about PEPs on request of the Planning Minister. This follows recent requests by the Planning Minister that the Dinawan, Bullawah and Winterbourne wind farm development applications be determined by way of public hearing following the protracted court proceedings undergone by the Valley of Winds and Hills of Gold.
Public hearings of the IPC have become a key mechanism by which the NSW Government seeks to provide certainty to developers and the community, while preserving public participation and a thorough assessment. A determination made by public hearing blocks merits review by the court as an avenue of appeal to challenge the approval or refusal of a development application.
The Planning Minister is proposed under this Bill to have an express power to direct the IPC in relation to SSD, SSI and Critical SSI, including for PEPs, to exercise functions at or within times specified in the direction.
Amended Planning Agreement Provisions
Amendments are also proposed to legislation underpinning voluntary planning agreements (VPA), affecting both renewable energy projects specifically and other development more broadly.
For renewable energy projects specifically, the Bill would allow contributions to be made for “a purpose prescribed by the regulations” rather than only for a public purpose. The existing provisions only allow contributions for a public purpose. The Minister has indicated that this amendment is to add legal force to the Benefit Sharing Guideline (November 2024) and to allow specifically for planning agreements to provide community benefits.
More generally, the Bill would also expand the Minister’s power to control planning authorities in connection with VPAs by determining and directing a planning authority as to the amount of land to be dedicated, monetary contribution to be made or other material public benefit to be provided by a developer. At present, the Minister may only direct the method by which a planning authority determines these contributions.
Conclusion
This Bill seeks to accelerate the pathway to planning approval for renewable energy projects. It does this by seeking to prioritise identified renewable energy projects (PEPs) through the DCA and expanded Ministerial intervention.
To achieve PEP status, we expect that developers will need to propose high quality projects that support the energy transition and evidence quality engagement with host communities.
The Minister has also flagged that further reforms to the State Environmental Planning Policy (Planning Systems) 2021 will be progressed to expand the Minister’s role as the approving consent authority for renewables projects rather than the IPC, stating that: “the IPC has unintentionally become the default decision-maker for most renewable projects” adding time to the process that “New South Wales cannot afford if the renewable energy project is not genuinely contentious or high risk”. The detail of these further reforms is not yet publicly available, but the Minister’s comments signal a continued consolidation of the Minister’s power to drive approval of renewable energy projects.
A copy of the Bill is available here.
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