ESG Snapshot: Issue 92

This week's highlights include:

• Extinction inquiries. In an Australian first, an SA Biodiversity Bill requires an extinction inquiry if certain species become extinct.
• Reopen for business. If NSW can't get its waste-to-landfill rates down, it will consider reopening some closed landfills.
• Offsets apology. EnergyAustralia has issued a public apology in order to settle a lawsuit over its marketing of 'carbon neutral' products.
• New climate envoys. Jacinda Ardern is the COP30 climate envoy for Oceania, and Kate Thwaites is Australia's new adaptation and resilience envoy.
• Too meagre. An ACT report concludes government spending on the environment "is meagre and demonstrably inadequate".
• In the zone. A VicGrid plan proposes a specific shoreline area to connect offshore wind, as well as seven renewable energy zones.
• New power bill rules. Victoria intends making it mandatory for energy retailers to move two types of customers onto their cheapest plans.
• 1.5 million tonnes. Fortescue says a 2.1GW wind project will cut its greenhouse gas emissions by at least 1.5 million tonnes annually.
• New NT Coordinator. A former Inpex executive has been appointed to the new post of Northern Territory Coordinator.

ESG Snapshot - powered by the Business Council for Sustainable Development Australia and curated by ESG communications and content consultancy Earthed.

Special envoys appointed by Prime Minister Anthony Albanese include Kate Thwaites, who is Australia's new Special Envoy for Climate Change Adaptation and Resilience.

Murray Watts is the new Environment and Water Minister, Chris Bowen has retained the climate change and energy portfolio, and Josh Wilson is once again assistant minister for climate change and energy.

Women now make up 50.5% of Australia’s federal Parliament, notes an election analysis by BCSDA chief executive Andrew Petersen.

"Not just close, not trending upwards — an actual, literal majority," Petersen says. "For the first time ever."

"When you line that number up against the country itself, where women make up around 50.7% of the voting-age population, what you see isn’t overrepresentation," Petersen points out. "You see alignment. Finally."

EnergyAustralia and Parents for Climate have settled a Federal Court court case brought by the group over the energy company's marketing of its 'Go Neutral' residential customer energy products.

A public apology issued by EnergyAustralia says the company "acknowledges that carbon offsetting is not the most effective way to assist customers to reduce their emissions and apologises to any customer who felt that the way it marketed its Go Neutral products was unclear".

"EnergyAustralia has now shifted its focus to direct emissions reductions," it says. 

"While offsets can help people to invest in worthwhile projects that may reduce greenhouse gas emissions elsewhere, offsets do not prevent or undo the harms caused by burning fossil fuels for a customer’s energy use," it says.

"Even with carbon offsetting, the emissions released from burning fossil fuels for a customer’s energy use still contribute to climate change." 

"While high quality carbon offsets may play a role for hard to abate residual emissions, it is important for organisations to provide clear and transparent information to consumers on where and how offsets have been used and what those offsets can achieve."

Parents for Climate welcomed the company's apology, describing it as "a major win".

"It is the first legal case of its kind in the country to protect the public from 'carbon neutral' greenwashing," the group said.

"The facts are clear," the group said.

"Carbon offsets should be a last resort. Too many companies are using offsets to delay real climate action - and that’s not just misleading, it’s dangerous. The federal government has failed to deliver a high-integrity program for voluntary offsets, so we're taking matters into our own hands." 

Submissions to the review of the National Electricity Market have been made public.

In a joint communique issued following their leaders meeting, Indonesia's President Prabowo Subianto and Australia's Prime Minister Anthony Albanese have:

• welcomed positive developments on collaboration to promote "electric vehicle ecosystem growth", and tasked officials to continue working together.
• welcomed the economic opportunities of the global net zero transition, and reinforced the value of the Australia-Indonesia Climate and Infrastructure Partnership (KINETIK).
• announced a $50 million contribution by Australia to capitalise the KINETIK Fund for Green Infrastructure, under the AU$200 million Australia-Indonesia Climate and Infrastructure Partnership launched by Leaders in June 2022. *
• recognised a shared commitment to addressing plastic pollution in our region, and the importance of finalising an ambitious international legally binding instrument on plastic pollution.

The CEFC has committed $3 million to Australian clean energy technology company EcoJoule Energy, to support its deployment of grid strengthening technology that will facilitate the increased uptake of distributed generation.

The CEFC investment is part of EcoJoule's $15 million capital raise.

Consultation opportunity - ACCUs. The Emissions Reduction Assurance Committee has released an exposure draft of a new landfill gas ACCU method. Comments are due by 12 June. Changs from the previous method include:

• incorporating an upward sloping baseline.
• providing a crediting period extension for existing projects, but with an adjustment to their baseline.
• establishing a regulatory baseline factor that must be used if state and territory landfill gas capture regulations mandate gas capture to a level higher than the default baseline factor.
• facilitating additional abatement by incentivising continued investment in existing landfill gas projects.
• improving and strengthening methane measurement requirements used to calculate net abatement from landfill gas projects.

The ACCC will not oppose Cleanaway's proposed acquisition of Citywide Waste, which is currently owned by the City of Melbourne.

The Institute for Energy Economics and Financial Analysis has released a new paper on methane abatement in coal mines.

Australia's Climate Leaders Coalition has released an AI for Climate framework that charts how AI applications can be used for mitigation, adaption and restoration.

The Monash Sustainable Development Institute is offering a range of professional development programs through its Net Zero Academy.

Following the federal election, the government has gazetted the Administrative Arrangements Order.

Windlab has announced that its 1.4GW Wongalee wind farm has received state development approval. The project is still waiting on EPBC approval.

The state government is conducting a survey on Strengthening social impact in Queensland. Responses are due by 26 June.

A Timber Supply Chain Ministerial Roundtable established by the Queensland government has held its first meeting.

Consultation opportunity - waste and recycling. The NSW EPA has released the first chapter of a draft Waste and Circular Infrastructure Plan, which is focused on residual waste and food and garden organics (FOGO).

The draft plan proposes:

• streamlining planning processes for extending and expanding existing priority landfills, so that assessments are conducted in 80 days, and with a "waste infrastructure concierge" established to assist proponents.
• considering reopening closed landfills if extending or expanding current landfills does not occur at sufficient pace, or doesn't provide sufficient extra capacity.
• investigating ways to divert Virgin Excavated Natural Material (VENM) and Excavated Natural Material (ENM) from landfills, including through the establishment of VENM/ENM holding yards.
• considering energy-from-waste projects, if these will reduce reliance on landfill.
• strengthening planning requirements for waste and recycling infrastructure.

Further chapters, due to be released later this year, will focus on boosting recycling infrastructure and issues specific to regional and remote NSW.

Comments are due by 25 June.

AEMO Services Ltd has launched its sixth tender under the NSW Electricity Infrastructure Roadmap, seeking an indicative 1GW of long duration storage projects in NSW.

Bids must be submitted by 10 June.

The NSW government has gazetted the Biodiversity Conservation Amendment (Strategic Offset Delivery Agreements) Regulation 2025.

The regulation amends the Biodiversity Conservation Regulation 2017 to prescribe entering a strategic offset delivery agreement as a biodiversity conservation measure in relation to certain State significant development and State significant infrastructure.

The regulation also requires a public register of strategic offset delivery agreements to be kept and made available.

Transcript is now available of the first hearing conducted by a parliamentary committee inquiry into the impact on communities of renewable energy zones.

The NSW government has gazetted the Electricity Infrastructure Investment Amendment Regulation 2025.

The NSW government has approved Esco Pacific's proposed $312 million, 90MW Summerville solar farm, to be built southwest of Lismore, with an associated battery energy storage system.

Esco will also provide about $3.1 million to Richmond Valley Council to deliver infrastructure and community benefits.

The project still requires federal EPBC Act approval.

The NSW government has identified 28 current and historic mine sites that could have critical minerals and "high-tech metals" within their tailings.

The NSW government has tabled its response to recommendations from a recent parliamentary inquiry into the use of e-scooters, e-bikes and related mobility equipment.

The ACT Commissioner for Sustainability and the Environment has issued a new report on the effects of urban expansion on the ACT's environment.

The report concludes that biodiversity is not sufficiently prioritised in legislation and policy making, and that government spending on the environment "is meagre and demonstrably inadequate".

Consultation opportunity - electricity grid. VicGrid's draft 2025 Victorian transmission plan proposes seven renewable energy zones, a Gippsland shoreline renewable energy zone, and new transmission lines required out to 2040.

Comments are due by 24 June.

Statutory development - energy efficiency. Parliament has passed the Victorian Energy Efficiency Target Amendment (Energy Upgrades for the Future) Bill 2025.

The Bill extends the Victorian Energy Upgrades program's legislated end date from 2030 to 2045, and allows VEU targets to be set for a two-year period, rather than five years, up until 2030.

The Coalition opposed the Bill, citing concerns about the administration of the scheme and the conduct of a review of the VEU scheme that is currently underway.

Meanwhile, Climate Change Minister Lily D'Ambrosio has given notice that she will be gazetting the Victorian Energy Efficiency Target Amendment (Targets and Shortfall Penalty Rates) Regulations 2025.

Consultation opportunity - electricity and gas bills. The Essential Services Commission has proposed new rules to require energy retailers to move two types customers onto cheaper plans - those experiencing financial hardship, and those who have been on the same plan for more than four years.

The Commission estimates the proposed changes would result in retailers switching up to 75,000 electricity and 60,000 gas customers to their best offer.

"This could result in total average annual savings of up to $16.8 million for affected electricity customers and $11.0 million for affected gas customers," says a regulatory impact statement.

Consultation opportunity - water regulations. The Victorian government is consulting on water regulations that will replace the existing trade waste regulations.

Proposed changes include clarifying that a water corporation can disconnect a trade waste connection if the connection would result in the water corporation not complying with its General Environmental Duty under the Environment Protection Act.  Comments are due by 25 May.

Average water storage levels across Victoria have fallen to 57% as the state's dry conditions continue. Water storage levels are down 26% on this time last year.

To help address declining water storages, 50 billion litres of water will flow from Victoria’s Desalination Plant into Melbourne storages from July, supporting storages in Geelong and South Gippsland.

The Victorian Greens have instigated a parliamentary inquiry to investigate how the state can best harmonise electric vehicles with electricity supply and demand.

The Tasmanian government has received the Project Marinus Whole-of-State Business Case from the Department of Treasury and Finance.

The business case - which will be made public - will inform a state government final investment decision, which is due by the end of July.

Nominations have opened for the 2025 EPA Sustainability Awards. 

Open consultations:

• Comments on a draft Tasmanian Future Clean Fuels Strategy are due by 4 July.

Statutory development - biodiversity. The South Australian government has introduced a Biodiversity Bill into state Parliament. The Bill includes a new general duty not to cause harm to biodiversity.

"If someone breaches this duty it is not a criminal offence but it does trigger corrective action," Environment Minister Susan Close told Parliament. "Compliance orders, reparation orders or civil court proceedings can be issued to ensure that any harm is swiftly rectified or prevented."

In an Australian first, the Bill also requires that an "extinction inquiry" be conducted if a native species endemic to the state becomes extinct in the wild in the state.

The Bill also introduces:

• tougher penalties, as well as third-party enforcement provisions that allow people who are affected by a breach to take legal action in cases of biodiversity harm. Concerned citizens who are not directly affected but have a legitimate interest can also take action with the court's permission.
• a new process to identify and safeguard habitats vital for the survival of threatened species.
• a new process for listing threatened species and ecological communities, which aligns with other Australian jurisdictions.
• a state biodiversity data system to improve how South Australia collects, manages and stores biodiversity information, and a requirement for a state biodiversity plan.

The Bill also requires the development of a new Significant Environmental Benefit policy, to ensure that offsets genuinely compensate for impacts and loss and leave biodiversity in a better state.

Minister Close noted that more than 1,100 species of South Australian flora and fauna are listed as being at increased risk of extinction.

"Our major trading partners are setting ambitious biodiversity targets and many are linking environmental standards to trade and investment," the Minister said. "If SA fails to act, we risk being left behind in the global green economy."

"Arresting biodiversity loss and capitalising on a nature-positive green future for South Australia involves two key actions - protecting what we have left and restoring what we have lost," she said.

The Bill will be supported by four committees - a biodiversity council that will advise on policy direction, a clearance assessment committee, an Aboriginal biodiversity committee, and a scientific committee.

Fortescue has made a referral to the WA EPA for the construction and operation of a wind farm and transmission infrastructure to provide renewable energy to its Pilbara mining operations.

The proposed East Pilbara Generation Hub would comprise up to 200 wind turbines and five substations, with a total capacity of 2.1GW.

"The proposal will allow Fortescue to cut down Scope 1 and Scope 2 emissions from its operations by at least 1.5 million tonnes of CO2-e per year by replacing diesel and gas-fired stationery power generation with renewable sources," says the company's supporting documentation.

The WA EPA is seeking public comment on amendments to Woodside's proposed Browse to North West Shelf extension.

The proposed amendment includes a reduction in the development envelope to no longer overlap Scott Reef.

The NT government has appointed Stuart Knowles as the Territory Coordinator. Knowles, who previously worked for Inpex, has been acting in the role since November last year.

The Territory Assembly has passed the Northern Territory Aboriginal Sacred Sites Amendment Bill 2025.

The NT government said the Bill delivers a suite of reforms to improve the operation of the NT Aboriginal Sacred Sites Act 1989. However, the Opposition criticised the legislation, telling the Assembly that the Bill "was drafted behind closed doors with zero input from Aboriginal Territorians".

An Assembly Committee report on the Bill is available here.

Greens MP Kat McNamara has quizzed the NT government in the Legislative Assembly over the absence of a climate risk assessment or framework in the NT Budget released this month, noting that all other state and territory budgets have them.

In response, Environment Minister Joshua Burgoyne said the NT government "is getting on with protecting the environment whilst ensuring that approval timeframes are reduced".

New listings are in blue.

Brazil, the host of this year's UN climate talks, has named 30 special envoys "who will engage with and listen to sectors and regions essential to a successful COP30".

Jacinda Ardern has been named as special envoy for Oceania.

A new analysis from InfluenceMap identifies what it terms as "a profound shift in corporate attitudes toward climate policy among businesses in the European Union".

Just over half (52%) of European companies tracked by the platform now demonstrate science-aligned or partially science-aligned climate policy engagement, indicating broad support for the Green Deal's agenda," it says.

"This marks a significant increase from 24% since the presentation of the EU Green Deal at the start of the 2019 legislative cycle. Meanwhile, the proportion of companies with misaligned climate policy engagement has dropped from 34% to 13% over the same period," InfluenceMap says.

"The findings challenge narratives promoted by certain industry associations since before the 2024 European Parliament elections which portray European industrial competitiveness as being in conflict with ambitious EU climate policy," it says 

Global oil demand growth is projected to slow for the remainder of the year as economic headwinds and record EV sales curb use, according to a new report from the International Energy Agency.

"Signs of a slowdown in global oil demand growth may already be emerging and will be tracked closely," the IEA says. 

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