The Queensland Renewable Energy Council (QREC) has welcomed the Productivity Commission’s recommendations in its interim report on transitioning to net zero, highlighting bilateral agreements between the Commonwealth and States as a key reform to streamline environmental approvals.
QREC Chief Executive Officer Katie-Anne Mulder said the Productivity Commission had specifically noted Queensland’s strong performance in delivering approvals faster than other jurisdictions and emphasised the importance of bilateral agreements to reduce duplication and improve efficiency.
“The Productivity Commission has recognised that environmental approval processes remain overly complex and fragmented.”
The Productivity Commission concluded that: “Proponents no longer need to prepare separate environmental impact statements for state and EPBC Act approvals. Bilateral assessment agreements have been in place with every state and territory since 2015, although some – such as the agreement with Queensland – need to be updated.”
It also reported: “The Queensland Renewable Energy Council estimates that ‘a 12-month delay in financial close on a $400 million project can add more than $20 million in holding and opportunity costs”.
“These findings echo the Queensland Productivity Commission’s own interim report into the construction industry last week, which identified overlapping State and Federal environmental regulations as a major source of red tape, adding unnecessary cost and up to four years of delays for renewable energy projects.”
QREC said aligning Commonwealth and State assessment processes through bilateral agreements would provide greater certainty for investors and accelerate delivery of critical clean energy infrastructure.
“Queensland’s renewable energy transition relies on timely and coordinated project assessments. By expanding bilateral agreements and removing unnecessary duplication, governments can support sustainable development while maintaining high environmental standards,” Ms Mulder said.
QREC will continue to work with its members, the Queensland Government, and both Productivity Commissions to ensure environmental regulation is effective, proportionate, and supportive of achieving Queensland’s emissions reduction targets.
Link to Productivity Commission Report: Investing in cheaper, cleaner energy and the net zero transformation Inquiry interim report