Environment and Sustainable Development 5 Minute Fix 52: energy roadmap, rezoning, water flows
The Environment and Sustainable Development 5 Minute Fix is a snapshot of need-to-know news on a range of ESD issues nationally. This edition covers Queensland's Energy Roadmap 2025, changes to the Financial Provisioning Scheme, Victoria's new fast-track rezoning program, and updated environmental water flow rules in New South Wales.
Energy
Queensland: Energy Roadmap 2025 released
The Queensland Government released the Queensland Energy Roadmap 2025, focusing on leveraging coal and gas assets while maintaining net-zero emissions by 2050.
Key themes include:
Private sector investment: The QIC Investor Gateway will attract private investment in new energy projects, and match investor interest with Government Owned Corporation (GOC) needs and market demand. QIC will use a $400 million Queensland Energy Investment Fund to fund renewables, gas and storage projects.
GOCs: to manage existing energy assets and partner with private sector in new investments. A $1.6 billion Electricity Maintenance Guarantee for existing state-owned coal, hydro, and gas assets.
Coal and gas: State-owned coal assets to operate until their technical lifespan ends, with potential extensions. Gas capacity to expand through state projects and private partnerships.
Transmission: CopperString and the Gladstone Projects continue, with QIC to deliver the Eastern and Western Links of CopperString.
Storage: Investment in battery and pumped hydro storage, with QIC delivering Mt Rawdon, Big T and Capricornia projects.
Renewables: Short-term renewable energy targets repealed, but net-zero by 2050 remains. The Government will introduce a Code of Conduct for renewable energy developers.
Next steps
Energy providers and renewables developers should familiarise themselves with the Roadmap and consider opportunities to collaborate with QIC and GOCs to secure investment in renewable projects.
The proposed Code will undergo consultation with industry and peak bodies to clarify community expectations, strengthen impact assessments, and set standards for Generation Authority applications.
Resources
Queensland: Financial Provisioning Scheme amendments
On 1 October 2025, relevant amendments to the Mineral and Energy Resources (Financial Provisioning) Act 2018 Qld) commenced, altering the Queensland Government's Financial Provisioning Scheme.
The Scheme applies to holders of a resource activity environmental approval or small scale mining tenure, pooling annual contributions to fund rehabilitation and remediation in the event of default by a holder. The Scheme required:
those with an Estimated Cost of Rehabilitation (ERC) of less than $100,000 to provide surety equal to that amount; and
holders with an estimated ERC of at least $100,000 to undergo an annual risk assessment process, which may require a holder to make an annual contribution to an insurance style scheme fund or provide surety equal to the ERC.
Key changes
The Scheme now mandates risk assessments only for holders with an ERC over $10 million. Holders with an ERC between $100,000 and $10 million may opt in if not classified as "high risk", while those with an ERC under $100,000 must provide surety equal to their ERC value.
The Scheme has revised risk categories that determine annual contributions, reducing the "moderate" risk category amount from 2.75% to 2.25% of the ERC, and introducing a new "moderate to high risk" category with a 6.5% rate.
Transitional provisions apply, and they particularly affect those holders with an ERC between $100,000 and $10 million that have commenced but not completed the risk assessment process. Holders should review their current arrangements and assess how the changes will impact them moving forward. The Scheme manager will notify relevant holders regarding elections and annual review allocation days.
Sustainable development
Victoria: Unlocking strategic sites, new program to fast track rezoning
The Victorian Department of Transport and Planning is now seeking Expressions of Interest (EOI) from councils, developers and industry to participate in the new Unlocking Strategic Sites planning pathway. The new pathway builds upon the existing planning assessment pathways in the Development Facilitation Program which has already streamlined the development of over 5,000 homes since late 2023.
This new state-led framework will fast-track the planning process to rezone and redevelop underutilised land, including former industrial or institutional sites, golf courses, racing tracks and surplus university-owned land. It is focused on projects that don't yet have planning permit application submitted and which are suitable for a planning scheme amendment under section 20(4) of the Planning and Environment Act 1987.
The pathway allows the Minister for Planning to initiate scheme amendments for projects deemed of state or regional significance or unreasonably delayed in the planning system.
Projects suitable for the new planning pathway will be selected through the EOI process. To be considered eligible for the program, the EOI must meet a series of eligibility criteria, which are centered on three key themes:
Location and scale
Complexity
Delivery confidence
Details of the eligibility criteria can be found on the Department's website under the "Unlocking Strategic Sites Expression of Interest Guidelines". EOI forms can be submitted here. Successful EOI applications will be contacted in January/February 2026.
Landowners and developers should consider their eligibility to submit a proposal as part of the EOI process which is open now until 17 November 2025. The new planning pathway offers a unique opportunity to fast track the often lengthy rezoning process and deliver projects that will repurpose and uplift land and contribute to Victoria's housing and employment needs.
Environmental protection
NSW: Clearer rules for environmental water flows
The NSW Government's enactment of the Water Management (General) Amendment (Water Return Flow Rules and Exemptions) 2025 on 16 September 2025 addresses a critical technical issue, clarifying when a water access licence is required and resolving delays in environmental water releases.
Key amendments include:
Exemptions for public authorities and the Murray Darling Basin Authority (MDBA): Public authorities, including Water NSW, the Commonwealth Environmental Water Holder, and the MDBA, are exempt from requiring a water access licence when taking water for environmental purposes under specific conditions. For example:
Water taken from unregulated river sources must originate from regulated river sources and be used for environmental purposes; and
Records of water volumes and works used must be maintained and reported to the Minister.
Return flow rules and re-crediting: The amendment establishes a formal process to measure and re-credit environmental water returns to the river system after use (eg., overbank flows or drainage), to the holder’s account. The measure ensures efficient reuse of environmental water, as well as transparency and accuracy of water accounting for compliance and reporting.
Exemptions for environmental deliveries: Exemptions also apply to entities delivering planned environmental water or water under relevant instruments, such as the Murray-Darling Basin Agreement. This ensures compliance with environmental objectives while reducing administrative burdens.
These changes streamline the regulatory framework for environmental water use, providing clarity and operational flexibility for public authorities and other stakeholders. By enabling the recrediting of water allocations and exempting certain activities from licensing requirements, the regulation supports sustainable water management and the efficient delivery of environmental flows.
Special thanks to Lauren Smith (Sydney), Ezekiel Lubbock (Brisbane), Sophie Robson (Sydney), Evie Belcher (Melbourne) and Smrithi Vaithilingam& (Sydney) for their contribution to this edition.
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