Queensland Environmental Offsets Framework Under Review: What Could Change

Submissions close 5pm, Monday 29 June 2026

Queensland’s discussion paper “A fresh start for Queensland’s Environmental Offsets Framework” is open for consultation now.

The Short Version

If you have a Queensland project that needs environmental offsets, the price you pay for them is about to change, and most likely go up. The State Government has released a discussion paper, A fresh start for Queensland’s Environmental Offsets Framework, proposing the biggest shake-up to offsets in over a decade. Submissions close at 5pm on Monday 29 June 2026.

There is good news in here too: more ways to source and host offsets, and more flexibility in how they are delivered. But if we had to point to one change worth planning around, it is the cost of paying your offset as a cash settlement to the government. Here is what is on the table and what it means for your project.

$129.2M
Paid into the Offset Account since 2014
7.9%
Of that actually spent on conservation
90%+
Of offset conditions settled as cash

The One Change to Plan For: Offsets Are Getting More Expensive

Most developers don’t deliver offsets themselves. They pay a financial settlement to the government’s Offset Account and walk away, leaving the state to deliver the offset. It is the simpler option, and right now it is also the cheaper one. The paper reports that since 2014, more than 90 per cent of offset conditions have been met this way, with over $129.2 million paid in.

Where the offset money has gone

Of $129.2 million paid in since 2014, only $10.2 million has reached on-ground conservation.

$10.2M spent on conservation$119M not yet spentTotal paid in: $129.2M

Spent on conservationHeld / not yet spent

The problem the government wants to fix is that this cash has not turned into much on-ground conservation. Of that $129.2 million, the paper says only $10.2 million has actually been spent on conservation activities. So it is overhauling the calculator that sets the settlement price, and it is blunt about why the current figure is too low:

  • The cost inputs have not been updated since 2014, so they ignore more than a decade of inflation and rising land prices.
  • Large clearing areas get discounts of up to 90 per cent, which the government now says were never justified.
  • Bundling several matters into one payment, undersized multipliers, and no buffer for events like floods or fire have all kept the price down.

How offsets get settled today

More than 9 in 10 offset conditions are met by paying cash to government rather than delivering an offset directly.

90%paid as cash

Cash settlement to government (90%+)Offset delivered directly (under 10%)
The one thing to plan around: a full rebuild of the calculator is flagged for 2026, and the direction of travel is one way only - up. If your project is likely to trigger offsets, there is a real commercial case to price and lock in your obligation under the current rules before the new calculator lands.

The Good News: More Flexibility and More Places to Find Offsets

The rest of the reform is largely in developers’ and landholders’ favour. Here is what is changing, and what it means in practice:

Change How it works now What’s proposed What it means for you
Timing of offsets Offset must be locked in upfront, before impact Settle during or after works commence Suits staged and uncertain projects
Where offsets are hosted State and Commonwealth offsets kept separate Advanced offsets, nature refuges and Environmental Offset Protection Areas usable for both One site can do double duty for state and federal triggers
Landholder consent Two-step consent process Single consent; voluntary agreements count as legal security More landholders willing to host, improving supply
Like-for-like rules Strict matching of impacted values required Flexibility for a different but sound conservation outcome where no match exists Easier to find a workable offset, as in NSW and federal EPBC
Indirect & connectivity offsets Indirect capped at 10%; connectivity limited to bare land Cap lifted to cover threat mitigation; connectivity can improve existing vegetation Wider range of eligible offset options

The remaining proposals are mostly housekeeping: writing the avoid-minimise-mitigate-offset hierarchy clearly into the Act, confirming that amended approvals are assessed on the project’s total impact, and tidying up administrative timeframes. Useful for clarity, but unlikely to change what you do day to day.

The Federal Angle

None of this sits in isolation. Reforms to the Commonwealth Environment Protection and Biodiversity Conservation Act 1999 passed on 28 November 2025, and the Commonwealth is building its own offset calculator. If Queensland aligns with it, the state framework could earn Commonwealth accreditation, which would cut a lot of duplication for projects that currently need separate state and federal sign-off. From 1 July 2026, some Nature Repair Market projects are expected to be usable toward EPBC offset obligations, though whether a certificate can count as an offset is method-dependent and should be confirmed against the current method and approval pathway. This paper’s push to align the two systems suggests Queensland wants in on that too.

The reform timeline

The key dates shaping Queensland offsets, past and upcoming.

2014Calculatorlast updated28 Nov 2025Federal EPBCreforms passed29 Jun 2026Submissionsclose, 5pm1 Jul 2026Nature RepairMarket eligible2026New calculatorrebuild

What’s Already Changed

A few amendments have already been made ahead of the broader review. Blakella spp. has been added to the koala habitat tree listings, a reclassification that can change whether a site triggers koala offsets and how it scores in a habitat quality assessment. New “advanced offset area” provisions let sites be set up and managed as offsets before an impact occurs. And the framework now formally recognises First Nations peoples’ connection to country in how offset sites are chosen and managed.

What We’d Do If This Were Your Project

The honest summary is: prices up, flexibility up, deadline 29 June. If offsets are on your horizon, three things are worth doing now.

1Check if you’re in scope

A significant residual impact assessment tells you whether your project triggers offsets at all under the current rules.

2Price it before it changes

A biodiversity offset strategy sets out your full obligation and the cheapest compliant way to meet it, including whether to settle now.

3Have your say

Submissions close 5pm Monday 29 June 2026. If a cost increase would hit your pipeline, the consultation is your chance to be heard.

Sources and Further Reading

This article summarises proposals in a government discussion paper that is open for consultation. Final amendments may differ from what is proposed, and nothing here is legal or regulatory advice. Always check current requirements with a qualified professional.

Not sure how these changes affect your project? Request a quote or call (07) 3018 7538 and we’ll talk it through.

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