JOHANNESBURG (miningweekly.com) – A new report by the Australian Productivity Commission has found that there is substantial scope to improve the development assessment and regulatory approval framework for major projects.

The report, titled ‘Major Project Development Assessment Processes’, identified long approval timeframes, conflicting policy objectives, duplicative processes, regulatory uncertainty, inadequate consultation and enforcement and regulatory outcomes falling short of their objectives as areas requiring attention.

The commission proposed limits on the use of 'stop-the-clock' provisions; the separation of regulators from policy institutions; limits on merit review of non-Ministerial decisions; and better access for third parties to enforce conditions on approvals.

It also argued for relaunching accreditation by the commonwealth, state and territory environment assessment and approval procedures.

“Implementation of a comprehensive package of regulatory reforms is essential if Australia is to secure the full benefits of major projects and remain an attractive destination for investment, while maintaining high standards of community protection,” said presiding commissioner Jonathan Coppel.

He noted that in the report, the commission outlined how jurisdictions could establish a 'one project, one assessment, one decision' framework for environmental approvals, through bilateral assessment and approval agreements. This would reduce costly duplication between Australian and state and territory government processes.

The report also proposed statutory timelines for assessment and approval decisions, the wider use of strategic assessments, and the establishment of major project coordination offices.

The Australian Petroleum Production and Exploration Association (Appea) on Tuesday welcomed the commission’s report, saying it represented one of the most comprehensive reviews of the regulatory and oversight processes that apply to resource projects in Australia.

“It highlights the duplicative and multiple layers of red and green tape that projects must navigate to unlock the economic benefits of our nation’s resources,” said Appea CEO David Byers.

“Many of the themes contained in the report, including reducing regulatory overlap and providing certainty and transparency for investors and the community, go to the very core of the damaging impacts of inefficient regulation,” he added.

Byers said that specific recommendations for statutory timelines for assessment and approval decisions would be a big step forward if adopted.

Appea has urged the government to consider the proposed changes.

“The federal government’s well documented commitment to abolish unnecessary red and green tape is given further support by many of the recommendations and conclusions contained in the commission’s report.

“Appea calls on all parties to recognise the benefits associated with an efficient regulatory regime, and accept the principle that streamlined approvals processes do not mean less rigorous or transparent protection of the environment,” Byers said.

The Western Australian Chamber of Minerals and Energy (CME) has also welcomed the release of the report, with CEO Reg Howard-Smith saying it acknowledged several key approval issues previously raised by the industry body.

“CME is encouraged by the Abbott government’s early progress in addressing duplication between environmental assessment and approval processes at the state and commonwealth level through the implementation of their one-stop-shop policy.

“When fully implemented, this policy will help deliver more streamlined and cost-efficient approvals, reducing the commonwealth’s involvement on a project-by-project basis, and enabling a focus on more strategic outcomes for biodiversity,” said Howard-Smith.