Technical Reference

32320  —  Environmental Impact Assessment

Approvals & Statutory Process (32300)
1

Overview

Environmental impact assessment is the process by which the likely environmental effects of a proposed development are identified, evaluated and, where necessary, mitigated before approval is granted. Node 32320 addresses the triggers for environmental impact assessment in the Australian development context, the assessment instruments commonly applied, and the relationship between Commonwealth and state environmental assessment regimes.

Not every development application requires a discrete environmental impact assessment; the requirement is triggered where a proposal is likely to have a significant effect on the environment, on a matter of state environmental significance, or on a matter of national environmental significance under Commonwealth legislation. Where triggered, the assessment is typically documented in an environmental impact statement or equivalent instrument, prepared to address a scoping report or terms of reference issued by the relevant authority.

Australian environmental impact assessment operates across two levels of government that may apply concurrently to a single proposal — state-based assessment under planning or environmental legislation, and Commonwealth assessment under national environmental law — with bilateral assessment arrangements in place in some jurisdictions to avoid duplicated process.

2

Scope & Boundaries

This node covers:

  • The triggers, instruments and procedural structure of environmental impact assessment applicable to property development
  • The relationship between state and Commonwealth environmental assessment regimes, including bilateral assessment arrangements

This node does not cover:

  • The development application process within which an environmental impact assessment is typically embedded → refer to Node 32310
  • Environmental and heritage law substantively → refer to Node 35430
  • Environmental due diligence conducted by a purchaser or financier independent of a statutory assessment process → refer to Node 33540
Scope Note — Statutory EIA vs. Environmental Due Diligence

Statutory environmental impact assessment is a regulatory gateway undertaken to obtain development approval. It is distinct from environmental due diligence undertaken by a prospective purchaser or financier to identify contamination or compliance risk independent of any approval process, addressed at Node 33540.

3

Key Concepts

Environmental Impact Statement
The principal document prepared to assess and disclose the likely environmental effects of a proposed development, addressing matters identified in a scoping report or terms of reference issued by the relevant assessment authority.
Matter of National Environmental Significance
A category of environmental matter — including threatened species, listed migratory species and World Heritage properties — the likely significant impact on which triggers Commonwealth environmental assessment under national environmental law.
Scoping Report / Terms of Reference
A document issued by the relevant assessment authority at the outset of an environmental impact assessment, specifying the matters an environmental impact statement must address for the particular proposal.
Bilateral Assessment Agreement
An arrangement between the Commonwealth and a state government accrediting a single assessment process for a proposal that would otherwise require separate state and Commonwealth environmental assessment, avoiding duplication.
4

Regulatory & Legal Framework

  • Environment Protection and Biodiversity Conservation Act 1999 (Cth)
    the Department of Climate Change, Energy, the Environment and Water
    Establishes Commonwealth environmental impact assessment triggers for matters of national environmental significance.
  • State environmental planning legislation (for example, the Environmental Planning and Assessment Act 1979 (NSW))
    state planning departments
    Establishes state-level environmental impact assessment requirements and the environmental impact statement process.
  • State biodiversity conservation legislation (for example, the Biodiversity Conservation Act 2016 (NSW))
    state environment departments
    Governs assessment of impacts on threatened species and ecological communities.
  • State heritage legislation
    state heritage councils
    Requires assessment of impacts on listed heritage items or places as part of the environmental assessment process.
5

Practical Application

ScenarioApplicationOutcome
Development site adjoins a threatened ecological communityReferral made to the state environment department; targeted species and habitat assessment undertaken as part of the environmental impact statementApproval granted subject to conditions requiring habitat offset and ongoing environmental monitoring
Project affects a matter of national environmental significanceReferred to the Commonwealth environment department for a decision on assessment approach, with a bilateral arrangement appliedA single accredited assessment process avoids duplicating state and Commonwealth requirements
Heritage-listed building located within the development siteHeritage impact statement prepared addressing retention and adaptive reuse optionsConsent granted conditional on a conservation management plan for the retained heritage fabric
6

Cross-Series References

Environmental assessment outcomes also bear on site-specific holding cost and feasibility risk addressed within APN’s broader development analysis content, though detailed treatment of that analysis sits outside the scope of this node.

Findings are presented on the basis of data and evidence alone.