The federal environment minister, Josh Frydenberg, has granted full approval to the controversial Port Melville development on the Tiwi Islands.
The decision, revealed on Thursday afternoon, appears to apply even less stringent conditions than were set by the commonwealth following its review into the development earlier this year.
The $140m port was developed without any environmental approval, sparking condemnation and legal challenges by environmental groups.
While Frydenberg has made no official announcement, the company, Ezion Offshore Logistics Hub, has informed the Singapore stock exchange of the decision, the Australian reported on Thursday.
Guardian Australia has confirmed the department on Wednesday formally declared the project to be “not a controlled action” under the Environmental Protection and Biodiversity Conservation Act.
The company said the decision meant it was therefore approved “to operate a marine supply base at Port Melville, Melville Island, Northern Territory, for the shipment of equipment and supplies for projects such as the construction and operation of offshore oil and gas fields, up to a maximum of 233 vessel berths [annually]”.
The government had acknowledged an error in a previous decision by a delegate of the former environment minister, Greg Hunt, to approve the port under certain conditions. In October the federal court overturned the delegate’s decision, finding the exercise of power was “uncertain” and referring the matter back to Frydenberg. Frydenberg said at the time he would work with the operators.
However, under the approval revealed on Thursday, even those conditions seem to no longer apply, according to the head of the NT environmental defenders office, David Morris.
It now seems the project “doesn’t have any conditions and it doesn’t require any environmental approval whatsoever, because the Northern Territory decided it didn’t and the commonwealth decided it didn’t because of the conditions it put on it,” Morris said.
“Those conditions were broad and some vague, uncertain and unenforceable, the EDO argued, and the minister conceded that in an agreed set of facts accepted by the federal court.”
“They said it was a controlled action but for those conditions, but now they’re saying it’s not a controlled action at all.”
Late last month the company wrote to the department of environment and requested a variation to its original proposal.
Citing “revised operational and market conditions” it requested to halve the number of annual boat movements. It noted this would also result in “a reduction in potential impacts on matters of national environmental significance in comparison with the original proposal.”
Morris said while the boat numbers had been reduced, the other elements, including 30m-litre fuel-tank farm and a deepwater port, and their associated risks, remained.
“Their likelihood is just reduced because of the smaller scale of the amended project which reduces significantly the number of ships allowed to use the port per year,” Morris said.
“But for all intents and purposes this is still a major oil and gas hub constructed and now permitted to operate without any environmental assessment, oversight or approval.”
Frydenberg’s office has been contacted for comment.
