Warning faster environment approvals may cost community

Victoria will cut red tape to attract growth in the minerals mining and manufacturing sector. (Dean Lewins/AAP PHOTOS)

Conservationists warn that one state's plan to streamline environmental approvals could throttle community consultation and lead to political decision-making. 

Environmental approval wait times of up to three years for new projects in Victoria would be slashed to 18 months in an effort to drive investment and efficiency, the state government announced.

"When we can reach good decisions faster, everyone wins," Planning Minister Sonya Kilkenny told reporters at a factory in Mickleham on Monday.

"So this is about improving our EES (environment effects statement) process, but definitely not compromising on the outcomes for community ... of projects and their environmental impact."

Planning Minister Sonya Kilkenny
Approval wait times for new projects will be slashed, says Planning Minister Sonya Kilkenny.

Conservation groups have been blindsided by the move.

“It is concerning that the Victorian government did not consult community and environment groups in preparing these reforms," Environment Victoria chief executive Jono La Nauze said.

"After a similar lack of consultation over the review into Parks Victoria, this is starting to look like a government that holds the environmental community in contempt."

Biodiversity Council policy lead Lis Ashby said a lack of clear criteria for environmental assesments opened the door for political decision-making.

"The focus on shortening assessment times alone will not solve these issues," she said.

"Rather, it risks reducing meaningful stakeholder engagement."

The state government also announced a 10-year plan to re-zone 6000 hectares of land – equivalent to more than 3000 Melbourne Cricket Grounds – for industrial purposes.

The land use change is designed to support a critical minerals mining and manufacturing industry.

Premier Jacinta Allan said critical minerals resources were abundant in Victoria.

"Critical minerals that the world wants and needs as we continue to invest in more renewable energy, solar panels, electric vehicles, renewable and electric batteries," she told reporters.

Victoria has significant deposits of mineral sands, including around 27 per cent of global zircon reserves and almost a third of the world's rutile, a titanium-bearing mineral.

The announcement came a week after the Business Council of Australia released a scathing report that declared Victoria Australia's worst state for business in terms of regulations, red tape, planning and tax.

Despite the reported tough conditions, Victoria recorded new private business investment growth of 7.2 per cent in the 2024 financial year, second only to mining powerhouse Western Australia, where investment surged 13.4 per cent, according to ABS figures

In South Australia, the Business Council's number-one state for business, new private business investment shrank 0.2 per cent over the financial year.

The Victorian opposition called the government's economic plan a flop.

"The Allan Labor government is out of money and out of ideas to make our state an attractive place to start and grow a business and get more Victorians into jobs," opposition finance spokesman Brad Roswell said.

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