The native forest logging industry faces a crackdown under once-in-a-generation environment reforms which are expected to pass parliament after a last-minute deal.
The overhaul of Australia's environment laws is aimed at better protecting precious natural sites while slashing red tape so major housing, energy and infrastructure projects can be approved more quickly.
After months of back-and-forth between the government, opposition and Greens, it was the pro-environment minor party that finally backed the laws in.
A number of 11th-hour tweaks were made to the legislation to win the Greens' support, while business groups, who had lobbied hard for changes, were also given some concessions.
Prime Minister Anthony Albanese said the reforms were a "win-win" which would make it easier to do business while also protecting natural sites.
Under the changes, a National Environment Protection Agency will start operating from July 2026, charged with enforcing nature-protection rules.
Major projects, with the exception of fossil fuel developments, will have access to a fast-tracked approval process.
Penalties will be toughened for major breaches of environment laws, while native forest logging and "high risk land clearing" will be brought under federal regulations, imposing tougher restrictions on the sector.
Businesses had raised concerns about a measure giving the environment minister the power to block a project if it posed an "unacceptable impact".
That term has been clarified in the final version of the bill.
Business Council of Australia chief executive Bran Black said the changes were welcome progress but still fell short of what he'd hoped.
"We consider that this is a missed opportunity to deliver the type of transformational economic reform that our country needs right now," he told reporters.
Opposition Leader Sussan Ley said her colleagues had been negotiating with the government until late on Wednesday night to try to get an agreement.
"In my view, the Labor Party never wanted to do any deal with us," she said.
But Mr Albanese said the coalition's demands kept changing and it was impossible to strike a compromise.
Former Australian Competition and Consumer Commission boss Graeme Samuel, whose work reviewing Australia's environment laws led to the reforms, said he was pleased with the final deal.
Mr Samuel conceded changes to native forest regulations may cost jobs, but said the impact would be offset by a $300 million fund announced by the government to help the sector modernise.
"It seems to me that what we've got ... is a very sensible outcome," he told reporters in Canberra.
Mr Samuel also took aim at the coalition for not acting sooner on his review, which was released in 2021.
"There's been a whole series of obfuscation, obstruction, contradictions ... they could have introduced legislation like this back in February 2021," he said.
The opposition had been negotiating with the government on the changes but was pipped at the post by the Greens.
Coalition MPs blasted the deal, claiming it would hurt businesses and drive away investment, with opposition resources spokeswoman Susan McDonald calling it a "dark day" for primary producers.
"We will see Australian jobs, Australian taxes and Australian prosperity offshored to other countries," she told reporters.
The gas industry echoed that criticism, describing the deal as a short-sighted political compromise which would drive up energy prices and deter investment.
"By conceding to the Greens, the government has chosen more red tape and uncertainty instead of enabling new gas supply," Australian Energy Producers chief executive Samantha McCulloch said in a statement.
The lobby group is particularly concerned about a move to prevent fossil fuel projects accessing fast-tracked approvals.
Greens leader Larissa Waters said she didn't get everything she wanted during the talks but was proud of the compromise.
"The Greens are determined to get shit done," she told reporters after the deal was announced.
