Draft Environmental Offsets Policy

The Territory has well-established processes for environmental assessment, recently strengthened by amended law to enhance the role of the independent Environment Protection Authority (PA).  However, a gap remains in the suite of measures needed for an optimal system: the Territory presently lacks policy and processes for identifying and securing environmental offsets.

How will Environmental Offsets work in the Northern Territory?

A draft Environmental Offset Policy was released by the Northern Territory Government on 28 October 2010.  At this stage, the draft policy will not be implemented by change in laws, but as a working policy for a 2 year period.  During the interim 2 years regulators will apply its provisions when considering permits, licences or other authority to undertake and operate a development affecting Territory environments.

The Policy will be reviewed and a report on its operation submitted to the Territory Government within 2 years of its implementation. That review will particularly address scope and triggers, and the need for new or amended legislation. It will draw on reports of the performance of individual offsets and include comprehensive assessment of the costs and benefits of the policy to industry and the Territory public.

What are Environmental Offsets?

Environmental offsets are measures taken by developers to compensate for residual effects of their projects that cannot be avoided, mitigated or repaired at the site of development reasonable cost.

A key feature of offsets is that they can help to reduce costs of environmentally sound development.  Offsets take over when the most cost-effective treatments of damage have been exhausted at a development site.  A point is reached when pursuing slight improvements becomes so expensive that it is better to seek greater environmental benefits in another way at another place.

Theory and practice in environmental offsets is well developed overseas and in other Australian jurisdictions.

Have your say

During the interim 2 years, the Territory Government invites feedback from industry, conservation interests and the public more generally on the Policy itself and the associated documents.

Comments can be made by emailing environmentaloffsets.NRETAS@nt.gov.au Written submissions should be sent to Department Natural Resources, Environment, the Arts and Sport, Environmental Offsets Policy, Attention Director Policy and Systems NRD, PO Box 496, Palmerston NT 0831.

On completion of public consultations and the review, a revised final Policy will be developed.

Please direct any comments you have on the draft Environmental Offsets Policy to environmentaloffsets.NRETAS@nt.gov.au

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