State Development Bill 2025 (WA): a new framework for major projects and investment in Western Australia

A bold shift in how WA facilitates State-significant development

The State Development Bill 2025 (WA) represents one of the most substantial legislative reforms to Western Australia’s project facilitation and approvals framework in recent decades. Introduced as part of the Cook Labor Government’s broader strategy to strengthen WA’s position as a global investment destination, the Bill seeks to replace the traditional State Agreement model with a more adaptable and streamlined legislative mechanism.

Its objectives are clear: to fast-track major strategic projects, unlock economic potential across regional and metropolitan areas, and ensure that social and environmental factors remain central to development decisions.

Legislative context and purpose

Introduced to the Legislative Assembly on 10 September 2025 and currently before the Legislative Council, the Bill establishes a new regime to coordinate, facilitate and promote development of strategic or economic significance to the State.

The Bill provides for:

• The creation of the office of the Coordinator General (CG) to oversee and streamline processes;
• A framework for designating “Priority Projects” and “State Development Areas” (SDAs); and
• Associated amendments to related Acts.

The object of the Bill (Clause 3) is to provide for the ‘coordination, facilitation and promotion of “State-significant development”, while taking into account social and environmental considerations’. 

Defining “State-significant development”

The Bill applies to developments that are industrial, infrastructural or otherwise of strategic or economic significance to Western Australia. Residential developments, however, are expressly excluded from Priority Project designation.

Two key categories are recognised:

1. Priority Projects: individual developments designated by the State Development Minister (with the Premier’s approval).
2. State Development Areas (SDAs): geographic zones identified for strategic economic or industrial growth.

Priority Project designation: fast-tracking approvals

Under Part 3 of the Bill, the Minister for State Development (with Premier’s consent) may issue a priority project designation notice. To qualify, a project must demonstrate clear strategic or economic significance, evidenced through its:

• Infrastructure or capital contribution;
• Employment creation; or
• Broader economic and social benefit.

Before designation, proponents must provide detailed assessments of project feasibility, potential impacts, and community or economic need.

Importantly, the Bill introduces a suite of mechanisms to expedite regulatory approvals once a project is designated:

• Due Regard Notice (Clause 34)

Allows the Minister or Coordinator General to require that decision-makers must give due regard to specified considerations—turning discretionary factors into mandatory ones. This power, however, is limited: it cannot be exercised over independent authorities such as the Environmental Protection Authority (EPA) or the Heritage Council of WA, nor over another Minister’s personal decision without their agreement.

• Timeframe Notice (Clause 37)

Empowers the Minister or CG to set or vary statutory timeframes for decision-making to prevent delays in the approvals process. Any such notice must allow a minimum of 20 business days for action.

• Joint Decision Notice (Clause 40)

Facilitates coordinated inter-agency decisions where multiple authorities hold overlapping powers, reducing duplication and administrative bottlenecks.

• Modification Orders (Clause 49)

Provide flexibility by allowing for amendments to approvals or procedural requirements to accommodate evolving project circumstances.

Together, these instruments are designed to deliver certainty and efficiency for proponents of major projects while retaining accountability and oversight safeguards.

State Development Areas: shaping regional economic zones

Under Part 4 of the Bill, the Minister (again with the Premier’s approval) may declare an SDA, identifying areas to be developed, conserved, or enhanced in alignment with the State’s long-term economic strategy.

Declarations may serve purposes such as:

• Facilitating strategic industrial development or essential infrastructure;
• Protecting and enhancing the natural environment; or
• Promoting balanced and sustainable growth in line with the Bill’s objectives.

This structure is expected to modernise WA’s land-use and industrial planning by offering a flexible legal mechanism for managing precinct-level development beyond traditional industrial estate models.

Key implications for business, government and investors

The Bill introduces a new approvals ecosystem for major projects, offering:

• Faster, more predictable decision-making through time-bound coordination;
• A centralised governance role for the Coordinator General;
• Improved inter-agency collaboration and reduced duplication;
• Stronger alignment between economic growth and sustainability outcomes.

For proponents, this means earlier engagement with government, enhanced transparency on project expectations, and reduced administrative uncertainty, particularly for complex, multi-jurisdictional or cross-sector projects.

For government, the Bill aims to retain democratic oversight through Ministerial accountability, while embedding mechanisms to ensure that environmental and heritage concerns remain properly addressed.

Why this matters to clients

For developers, investors, and resource proponents, the State Development Bill 2025 marks a structural shift in how Western Australia attracts and delivers large-scale projects.

If enacted, it will:

• Replace the rigid State Agreement model with a more adaptable statutory framework;
• Support strategic industries such as renewable energy, hydrogen, critical minerals, and advanced manufacturing;
• Encourage regional diversification and job creation; and
• Offer a streamlined path for project approvals and coordination while maintaining accountability.

Early engagement and preparation will be key. Proponents should consider:

• Reviewing potential eligibility for Priority Project designation;
• Preparing feasibility and impact assessments that align with the Bill’s social and environmental criteria; and
• Understanding how SDA declarations may affect land access, infrastructure obligations or environmental offsets.

Balancing speed with stewardship

The State Development Bill 2025 seeks to position Western Australia as a global exemplar in strategic project facilitation, marrying investment attraction with environmental and community integrity.

While the new framework promises faster pathways for development, it also places greater emphasis on proactive engagement between industry, regulators and affected communities.

For clients operating in infrastructure, energy, or resources, the Bill represents both an opportunity and a challenge: an opportunity to accelerate high-impact projects, and a challenge to meet heightened expectations for transparency, collaboration and sustainability.

Jackson McDonald will continue to monitor the Bill’s progression through Parliament and advise clients on its practical implications once enacted.

This article was written by Shaun Gin Tan, Restricted Practitioner Real Estate.