Environment and Sustainable Development 5 Minute Fix 61: NSW data centre framework, QLD review of its Financial Provisioning Scheme, ACT new climate change strategy

NSW

NSW Government releases its Data Centre Policy Framework and Guidelines

On 17 August 2026, the NSW Government announced the release of its Data Centre Policy Framework and accompanying NSW Data Centre Guidelines – the first initiative of its kind in Australia.

The announcement sends a clear message that NSW supports data centre investment and is at the forefront of managing the impact of this infrastructure on communities. There are currently 19 data centre projects valued at $50.3 billion in the State Significant Development pipeline, in addition to the more than 60 data centres already in operation or under construction.

The framework rests on three pillars, which implement the Australian Government's Expectations of Data Centres and AI Infrastructure Developers, published in March 2026.

• Pillar 1 is the NSW Data Centre Guidelines which articulate the Government's support and expectations for data centre involvement in NSW. The Guidelines set high performance measures which data centre developers are expected to meet and propose a streamlined planning assessment process for those who do.

• Pillar 2 involves regulatory reforms to ensure equitable cost recovery arrangements for energy infrastructure and to manage the risks associated with the connection of large new electricity loads. The Government has introduced the Electricity Infrastructure Investment Amendment Bill 2026 into Parliament, which would give the NSW Energy Minister the power to regulate the connection of data centres to the grid. The Government is now seeking public feedback on the reforms and consultation will take place between 17 August and 14 September 2026.

• Pillar 3 involves the commission of a review by the Independent Pricing and Regulatory Tribunal (IPART) into the water pricing framework for data centres. The review will consider how pricing can reflect the full cost of servicing data centres, protecting other water users and managing the impact of drought and scarcity.

Alongside the Framework, the Government has announced that it will establish a new Office of AI in The Cabinet Office to strengthen and accelerate the response to the opportunities and challenges presented by artificial intelligence.

For further commentary on what the Data Centre Policy Framework means for investors, developers, government and communities, read our full-length article here.

Victoria

Inquiry into the 2026 summer fires across Victoria – Release of the Final Report

The Legislative Council Environment and Planning Committee tabled its Final Report, "The 2026 Summer Fires Across Victoria," on 28 July 2026 (Final Report). The Final Report followed the inquiry into the 2026 Victorian fires, which burnt 440,000 hectares of land, an area larger than the 2009 Black Saturday fires.

The inquiry focused on the causes and impacts of the bushfires, Victoria's emergency response framework, operational and landscape preparedness, and the resilience of critical services and infrastructure across Victoria.

After conducting extensive hearings across Colac, Quantong, Longwood, Harcourt, Melbourne and online, the Committee published over 80 findings and recommendations, determining that:

• Climate change is contributing to an increase in both the frequency and severity of bushfires across Victoria. While planned burns can reduce fire intensity, reduce spread and improve fire suppression, the seasonal window for conducting planned burns is narrowing due to climate change.

• The fires had far-reaching effects on wildlife, including death, injury and habitat loss, particularly in national and state parks.

• The number of operational volunteers in the Country Fire Authority (CFA) has declined by 26% in the last decade. The Victorian Government should work with the CFA to develop and fund the recruitment and retention of more volunteers.

• The Government's "leave early" bushfire messaging has significantly improved public safety outcomes following the 2009 Black Saturday fires. However, this approach has increased the number of undefended properties and community fatigue.

• There is now widespread community reliance on the VicEmergency app, which emphasises the need for stronger telecommunications resilience in disaster-prone areas.

• More consistency is needed regarding roadside vegetation management, as this has direct impacts on increased bushfire risk and fire control.

The Government has six months to respond in writing to any recommendations made in the Final Report.

Queensland

Queensland's review of the Financial Provisioning Scheme

On 22 July 2026, the Queensland Government announced a targeted review of the Financial Provisioning Scheme (FPS), with Terms of Reference released on 31 July 2026. Led by the Department of Natural Resources and Mines, Manufacturing and Regional and Rural Development, the review commenced in August 2026, with public consultation to open September 2026.

Queensland's resources sector has changed significantly since the FPS was introduced in 2019 under the Mineral and Energy Resources (Financial Provisioning) Act 2018 (Qld). New investment models, changing ownership structures and growing participation from small and mid-tier operators have prompted the Government to assess whether the scheme remains effective, efficient and fit-for-purpose in managing Queensland's financial exposure to resource tenure holders failing to meet their environmental management and rehabilitation obligations.

The Terms of Reference outline the following key areas for review, including:

• scheme performance and opportunities for expansion: whether the current framework remains effective in managing financial risk and supporting rehabilitation outcomes, and whether its scope should be broadened;

• interjurisdictional competitiveness: how Queensland's financial assurance settings compare with other Australian and international jurisdictions, with a view to ensuring the state remains globally competitive;

• investment environment and operator participation: the impact of the scheme on investment decisions and resource development activity, including whether the current settings are appropriate to capitalise on what the Government describes as "a new era of resources growth";

• treatment of small, mid-tier and non-traditional operators: whether the scheme appropriately accommodates the increasing number of small and emerging operators in the sector, including those involved in critical minerals exploration; and

• other considerations: including risk classification rules and the re-commercialisation of abandoned mines.

Notably, the review excludes several matters, including the methodology used to calculate estimated rehabilitation cost (ERC) amounts, changes to the residual risk framework or residual risk payment methodology, environmental standards and rehabilitation requirements (including Progressive Rehabilitation and Closure Plan requirements), and reconsideration of existing individual ERC determinations, residual risk assessments or risk category allocations.

With public consultation to open in September 2026, resource companies should review the Terms of Reference, assess how the proposed areas of review may impact their operations and financial assurance obligations, and prepare submissions to ensure their perspectives are reflected in the scheme's future direction.

Western Australia

WA Government Upholds Uranium ban in light of export deal with India

WA's newly appointed Minister for Mines, Petroleum, and Exploration, Daniel Pastorelli, has confirmed the state government will maintain its ban on uranium mining.

The announcement at the Diggers and Dealers Mining Forum in Kalgoorlie on 5 August 2026 comes despite mounting pressure from industry and the state opposition, and follows the landmark Australia-India Administrative Arrangement signed at the Third Australia-India Annual Summit in Melbourne on 9 July 2026. The arrangement clears the way for Australian uranium exports to India for peaceful purposes under IAEA safeguards, giving effect to the 2014 Australia-India Civil Nuclear Cooperation Agreement. India's ambitious target of 100 GW nuclear capacity by 2047 represents a substantial long-term market opportunity. However, with WA's ban firmly in place, South Australia remains the only state actively producing and exporting uranium.

The decision reinforces WA's commitment to its existing energy transition strategy, with the government signalling that renewable energy sources remain the priority for the state's future energy mix. Conservation groups have welcomed the announcement, noting that renewables technology continues to become more affordable and accessible.

While uranium has experienced a resurgence in early 2026, industry observers note that the sector's history of sharp price swings makes long-term investment uncertain. For now, the Cook Government's position is clear: WA will not be opening its doors to new uranium mining.

Australian Capital Territory

Release of the ACT Government's new Climate Change Strategy 2026-2036

On 23 July 2026, the ACT Government released its new Climate Change Strategy 2026–2036, reaffirming the Territory's commitment to achieving net zero emissions by 2045. The Strategy comprises an Overarching Framework and Action Plan 1, with further action plans to follow. It is structured around eight pillars: natural environment, built environment, transport, energy, circular economy and waste, hard-to-abate emissions, agriculture, and government.

The ACT's legislated targets under the Climate Change and Greenhouse Gas Reduction Act 2010 include a 65-75% emissions reduction by 2030, 90-95% by 2040, and net zero by 2045.

For businesses, the Strategy signals an accelerating regulatory trajectory. The ACT will continue restricting new gas connections, with full gas network decommissioning targeted by 2045 and future regulation of gas-connected appliances foreshadowed. In transport (the Territory's largest emissions source) the Strategy targets 100% zero-emission new vehicle sales by 2035 and will prohibit new combustion engine vehicles in taxi and rideshare fleets from 2030. Government contracts with significant transport components must include zero-emissions vehicle transition planning from 2027-28. In the built environment, strengthened sustainability ratings, carbon management requirements on major projects, and indirect emissions reporting for government operations are signalled.

The Strategy also places increased emphasis on climate adaptation, introducing measures to reduce urban heat, improve flood resilience, and embed climate financial risk disclosures across government.

While many actions in Action Plan 1 are foundational, they are explicitly intended to build the policy architecture for more substantial regulatory interventions in future action plans. Proponents in the construction, property, energy, transport and waste sectors should engage early to influence the design of these frameworks and manage the transition.

Tasmania

Salmon Tasmania Ad Standards Decision Highlights Greenwashing Risks

In a notable example of greenwashing enforcement in Australia, the Ad Standards Community Panel initially found that a commercial by Salmon Tasmania had breached the AANA Environmental Claims Code by making misleading claims about the impact of salmon farming on the marine environment.

The advertisement, which ran across Facebook and Tasmanian cinemas in both 90-second and 15-second versions, featured footage filmed beneath salmon pens in the Nubeena area. Key claims included that there was "no build up of any biomass" and a "thriving marine environment" beneath the pens, contrary to perceptions that the sea floor beneath cages is a "wasteland of sludge."

The Panel found the advertisement breached section 2.1 of the AANA Environmental Claims Code, as it created an overall impression likely to mislead the target customer. Critically, the Panel determined that the ad made statements about the "salmon industry" in general rather than just the Nubeena location where footage was filmed. The average community member would interpret the imagery as representative of salmon farming industry-wide. A claim by Salmon Tasmania's representative that conditions filmed were "very typical of what we see" reinforced that broader impression, including in areas where environmental damage concerns have been raised.

Salmon Tasmania successfully appealed the decision, arguing on independent review that the ad referenced only the Nubeena area and that the industry complies with mandated standards. However, the case reflects a broader and accelerating trend in greenwashing enforcement across Australian regulators, with ASIC, the ACCC, and Ad Standards each intensifying their scrutiny of environmental and sustainability claims. Together, these enforcement efforts signal that businesses making unsubstantiated or misleading environmental claims face increasing legal and reputational risk.

Special thanks to Editor, Cara Hooper (Brisbane) and contributors Clare Gim (Sydney), Olivia Chudleigh (Brisbane), Harrison Emery (Brisbane) Kaylee Dawson (Perth), Grace McInerney (Sydney), Jada Hatch (Sydney), Claire Bernabe (Melbourne), and Chloe Northeast (Melbourne).