Fact sheet 2A: Economic Benefits of the One-Stop Shop
The One-Stop Shop will save business around $426 million a year through streamlining environmental assessment and approval processes and removing duplication between the Australian Government and states and territories. This will make Australia more competitive, encourage investment and create jobs.
Areas of business savings will include:
- lower administrative costs are estimated to save business $9 million a year as business will only need to complete one application, develop one set of assessment documentation and comply with one approval decision
- faster approvals are estimated to save business $417 million a year as business will no longer need to wait for a separate Commonwealth approval after state and territory approvals are granted.
Australia’s strong environmental standards will be maintained and business efficiency will be improved:
- states and territories will only be accredited to make approval decisions when they can demonstrate that their processes meet high national environmental standards. The national standards are available on the Department’s website at: 'One stop shop' for environmental approvals
- there will be increased sharing of environmental information and data between business, governments and the community which will improve our ability to understand and manage our environment
- increased use of strategic assessments will improve environmental outcomes. Strategic assessments consider the cumulative impacts of environmental pressures and plan for better environmental outcomes, particularly over the long term
- a simpler, faster assessment and approval process will increase certainty for investors, reduce costs for business, boost productivity and create jobs. Business will only need to deal with one regulator and undertake one assessment and approval process
Streamlined environmental approval of major projects
In the past there have been delays between granting state and territory government approvals and the Australian Government approval. There are a number of points of delay that can occur under the current regulatory arrangements.
For example, under the current system there could be a gap of 110 days between the state and Australian Government approval decisions. With the One-Stop Shop, this type of delay would be avoided because the Australian Government would not need to assess information on matters of national environmental significance separately. Instead, the state would seek all relevant information upfront and through the one application.
In this scenario, if the project had a net present value of $130 million, it is estimated that there would be a benefit to business of up to $3 million under the One-Stop Shop from compliance cost savings.
- Unlike project-by-project assessments, strategic assessments examine a much larger set of actions or ‘classes of actions’. Once approved, future individual projects taken within the class of actions do not need any further approval by the Australian Government.
- Strategic assessments allow for long term management resulting in better environmental outcomes.
- The National Offshore Petroleum Safety and Environmental Management Authority strategic assessment of offshore petroleum activities in Commonwealth waters has removed duplication and will result in savings for business of $120 million a year.
All States and Territories have committed to working with the Australian Government to implement a comprehensive One-Stop Shop.
Further streamlining opportunities are being explored to ensure projects that fall outside the One-Stop Shop can be assessed as efficiently as possible. This includes strategic assessments.
The Australian Government has also instigated a National Review of Environmental Legislation to identify further future opportunities for reform.
For more information on the One-Stop Shop for environmental approvals, please go to 'One stop shop' for environmental approvals
For more information on strategic assessments, please go to Strategic assessments
A copy of the Regulatory Cost Savings under the One-Stop Shop for Environmental Approvals is available at: Regulatory Cost Savings under the One-Stop Shop for Environmental Approvals