Western Australia launches significant reform to development framework

The recently published State Development Bill aims to strengthen WA’s ability to attract major job-creating projects and achieve the state’s ambitious energy transition and decarbonisation goals, while responsibly meeting existing obligations to a robust approvals process.

Premier Roger Cook, when announcing the legislation, said: “Becoming a global leader in investment attraction, industry facilitation and regulation is a key part of our strategy to keep WA the strongest economy in the nation.”

The reforms make clear that WA has ambitions to be a global leader in clean energy, defence manufacturing and strategic industrial development. For construction, infrastructure and energy industry participants, it presents opportunities, challenges and action on much needed reform.

The bill, following its introduction to parliament, will be debated and potentially amended. If passed, it will be implemented in stages, alongside regular updates to regulations and guidance materials.

Implications for construction industry

The legislation will have a significant impact on the construction industry, creating faster approvals for major projects and introducing mechanisms to streamline approvals for strategically significant precincts and projects.

Aiming to enhance productivity and improve how projects and precincts of strategic importance to Western Australia are identified, coordinated and delivered, the legislation gives the premier powers to declare “priority projects” and “state development areas”.

This will be supported by the 'coordinator general', who will be delegated statutory powers to accelerate and oversee regulatory processes and industrial land activation, enabling the state to respond rapidly to emerging opportunities and reduce administrative duplication.

For the construction industry, this means reduced uncertainty and shorter lead times, especially for large-scale infrastructure, industrial, and defence-related developments. This could lead to more predictable project timelines, which is critical for construction contractors, developers and financiers alike.

The bill is designed to unlock investment in clean energy, defence, and advanced manufacturing precincts. As a result, the construction industry may see increased demand for services related to naval shipbuilding infrastructure, renewable energy facilities and industrial precincts for green iron and critical minerals processing.

Implications for clean energy industry

The bill reflects WA's intent to exit coal-fired power generation faster than any other Australian state. This signals a major shift in energy infrastructure investment, with opportunities for energy sector participants in renewable energy generation projects, grid upgrades, transmission infrastructure and battery storage, and decommissioning and remediation of coal assets.

It also supports WA’s role in helping trading partners to decarbonise, especially through critical minerals and green downstream products like green iron.

Energy companies involved in mining, processing, and export of these resources will benefit from streamlined approvals, strategic infrastructure support and potential co-location in state development areas.

By "future-proof[ing] WA’s regulatory system" and balancing high environmental standards with faster decision-making, the legislation will give greater clarity and confidence when planning long-term investments for energy developers.

Safeguards and governance

The bill seeks to respect the independence of the Environmental Protection Authority and Aboriginal heritage protections, ensuring that while approvals are faster, environmental and cultural standards remain intact – which will be important for stakeholder trust and ESG compliance.

This bill is a signal of intent: WA wants to be a global leader in clean energy, defence manufacturing, and strategic industrial development. For both construction and energy industry participants, it presents:

• Opportunities: New projects, faster approvals, strategic precincts.
• Challenges: Need to adapt to a more agile regulatory environment and align with decarbonisation goals.
• Actions: Firms should begin positioning themselves for involvement in priority projects and precincts and engage early with the coordinator general’s office once operational.

Co-written by Thomas Coleman of Pinsent Masons.