PFAS Update
There have been several recent developments in relation to PFAS, which are especially relevant to anyone:
- Contemplating or carrying out remediation works
- Manufacturing, exporting or importing products containing PFAS
- Dealing with waste containing PFAS.
To recap, PFAS stands for per- and polyfluoroalkyl substances, which are a group of over 4,000 synthetic chemicals. PFAS is a complex contaminant, especially as its impact on human health and the environment is still developing and the approaches to remediating PFAS contamination are fast evolving.
The recent developments in relation to the regulation of PFAS include the following:
NSW Environment Protection Authority (NSW EPA) releases its Position Statement on NEMP 3.0
The NSW EPA has recently announced its position on the PFAS National Environmental Management Plan 3.0 (NEMP 3.0).
By way of background, the PFAS NEMP is Australia’s national guide for managing PFAS in the environment and was developed by the heads of the EPAs across Australia and New Zealand. It covers a range of PFAS related topics, including guidance on:
- The general principles which are to guide the decisions of regulators.
- How to conduct PFAS investigations, monitoring, sampling, analysis and remediation.
- Guideline values to inform investigations and risk assessments.
- Landfill design, operations and management.
- PFAS in wastewater treatment systems, soil and biosolids.
- PFAS in landfill leachate and wastewater.
In its statement, the NSW EPA has announced that it is taking a “staged, risk based approach to the implementation of NEMP 3.0”. Notwithstanding the general nature of this statement, the NSW EPA has issued firm guidance as to when it expects compliance with certain parts of NEMP 3.0, including those discussed below.
Implications on the lowering of guideline values in NEMP 3.0
NEMP 3.0 contains lower guideline values when compared to its predecessor for PFOS, PFOA, and PFHxS for low-density residential land uses. The NSW EPA has confirmed that an exceedance of the NEMP guideline values does not necessarily mean that there is an environmental or human health risk, or that remediation will be necessary. However, exceeding the guideline values may trigger an investigation to determine if there is a potential risk to human health or the environment that needs to be managed.
The finalisation of NEMP 3.0 and the NSW EPA’s adoption of it, has the potential to impact current remediation projects, and projects where site assessment has been completed but remediation works are yet to commence.
In particular, the NSW EPA position is that, if remediation works commenced before 4 March 2025, being the date on which the Commonwealth released NEMP 3.0, then those works may be completed with reference to the previous version of the NEMP, being NEMP 2.0.
However, in the following circumstances, the appropriateness of a proposed remedial strategy will need to be reconsidered, according to the NSW EPA:
- Contamination site assessment work commenced before 4 March 2025; but
- Contracts for the remediation works were not awarded before 4 March 2025.
This has potentially significant impacts for a range of projects, especially those in the investigation, development assessment and/or contract tendering phase.
New requirements anticipated for biosolids, sewage treatment plants and landfill licences
The NSW EPA has foreshadowed changes to how it regulates biosolids, landfill leachate and wastewater considering NEMP 3.0, including via amendments to:
- The resource recovery and order and exemption for biosolids.
- The environment protection licences (EPLs) applicable to sewage treatment plants and landfill licences.
We do not yet know the detail of the NSW EPA’s new requirements. However, the EPA has confirmed that it is currently engaging with key stakeholders and that it will undertake broader consultation shortly.
During the NEMP 3.0 consultation phase, several submissions expressed concerns that NEMP 3.0 would increase operating costs and/or restrict the application of biosolids. However, no regulatory impact statement has to date been provided to assess these issues. No doubt, they will be further ventilated during the consultation process.
Provisions of NEMP 3.0 especially relevant to the construction industry
As was the case under NEMP 2.0, NEMP 3.0 contains important guidance for the construction industry, including in relation to stockpiling, storage and containment of PFAS contaminated material.
Additional guidance has been included in NEMP 3.0 in relation to the reuse of PFAS contaminated water during construction projects.
For example, NEMP 3.0 identifies the risk that construction work may intercept PFAS contaminated water, and if this goes unrecognised, routine works such as spraying for dust suppression can result in the dispersion of PFAS and the contamination of material which would have otherwise been suitable for use.
Updated PFAS Drinking Water Guidelines
Following a scientific review and public consultation, on 25 June 2025 the NHMRC updated the Australian Drinking Water Guidelines with revised limits for PFOS, PFOA, PFHxS, and an additional PFAS chemical, known as PFBS. All proposed values in the consultation documents were adopted, except for PFOS, which was increased from 4ng/L to 8ng/L. A link to the updated guidelines, including a summary of the recent amendments, is available here.
The public reaction to the new guidelines has been mixed, with some commentators expressing surprise that the guideline value for PFOS is double that included in the consultation draft. Others have expressed concern that achieving the amended values will significantly increase operating costs.
It is the responsibility of states and territories, not the NHMRC, to implement the guidelines. As such, the next steps involve the regulators in each of the states and territories reviewing the updated health-based guidelines and establishing timelines for their implementation, including requirements in relation to the frequency of water supply testing.
IChEMS updates in relation to PFAS now in effect
The Industrial Chemicals Environmental Management Standard (IChEMS) establishes national standards for the risks posed by industrial chemicals. These standards are published in the IChEMS Register, a publicly accessible list that outlines specific environmental controls for each regulated chemical.
On 1 July 2025, the listing of PFOS, PFOA and PFHxS in Schedule 7 of the IChEMS Register came into effect.
Key implications include:
- Import/export restrictions: The import or export of neat chemicals and articles containing these types of PFAS are now generally prohibited unless a specific exemption applies. These restrictions are to be enforced by the Commonwealth Government, and the Interim Report issued by the Commonwealth Select Committee confirms legislation is being developed to enforce iChEMS at the border and on Commonwealth sites.
- Licensing requirements: Businesses in NSW dealing with these chemicals may require an environment protection licence under the Protection of the Environment Operations Act 1997 (NSW) (POEO Act), whether because the regulated PFASs are within a waste stream or otherwise.
- Stricter handling requirements: Entities managing products or substances containing PFOS, PFOA and PFHxS may need to comply with new rules on storage, treatment, management and disposal of contaminated materials.
To date, only NSW and Queensland have implemented reforms related to IChEMS. Victoria has indicated that its legislation is largely consistent with iChEMS but is currently assessing listed chemicals to determine whether additional controls are needed.
Learn more about the reforms here.
PFAS Select Committees
Both the NSW and Commonwealth parliaments have established select committees to investigate PFAS contamination, but they differ in scope and focus.
A select committee is a temporary parliamentary committee established by resolution, to inquire into and report on a specific issue, often one that is controversial or politically sensitive. These committees operate for a limited period and cease to exist once they have presented their final report.
The NSW Select Committee, established on 25 September 2024, is examining PFAS contamination in NSW waterways and drinking water supplies, making it a narrower and more targeted inquiry. The committee held multiple public hearings and submissions have now closed.
With its final report due by 20 August 2025, the NSW Select Committee is expected to make recommendations to prevent, control and manage the risks of PFAS in water supplies.
The Commonwealth Select Committee on PFAS, established by the Senate on 22 August 2024, is conducting a broader national inquiry into the extent, regulation and management of PFAS across Australia. It has held public hearings across several states, released an Interim Report in March 2025, and has reopened submissions. Its final report, due by 5 August 2025, is expected to recommend reforms focused on preventing, controlling, and managing the risks PFAS pose to human health and the environment, including their complete phase-out.
Notable enforcement action
3M Australia issued Clean-Up Notice for legacy PFAS at quarry under the Contaminated Land Management Act 1997 (CLM Act)
On 29 May 2025, the EPA issued a “Clean-Up Notice" to 3M Australia under section 46 of the CLM Act, which enables the EPA to issue a clean-up notice in relation to any contaminated land notified to it under the CLM Act.
This enforcement action follows the notification by the owner of the Brogans Creek Quarry in the State’s Central West under section 60 of the CLM Act. Having formed the view that the contamination impacting the land related to 3M Australia’s historical use of it, including to test PFAS containing firefighting foams, the EPA determined that 3M Australia was the appropriate entity to whom to issue the notice.
The contamination spans soil, sediment, groundwater and surface water across 100 hectares, with PFAS levels exceeding national drinking water guidelines up to 8km downstream of the site.
In addition, it is a notable example of the EPA exercising its extensive enforcement powers under the POEO Act in relation to contaminated land.
3M has 60 days to submit a site investigation management plan or face fines of up to $2 million. Read more here.
Substantial fine for gold mine operator guilty of three air pollution offences: Environment Protection Authority v Cadia Holdings Pty Limited [2025] NSWLEC 27
On 31 March 2025, the NSW Land and Environment Court fined Cadia Holdings Pty Ltd $350,000 for three breaches of the POEO Act relating to excessive emissions of total suspended particulates (TSPs) from its gold mine ventilation system. The Court also ordered Cadia to pay $61,500 to the Rural Air Quality Monitoring Network, along with a publication order and costs.
The offences, committed in November 2021, March 2022, and May 2023, followed the installation of new surface fans in December 2020, without any prior environmental modelling or testing. While the first breach occurred before Cadia had air quality data, later offences occurred after Cadia was on notice that emissions exceeded regulatory limits. The 2023 breach involved TSP levels more than 5.5 times the allowable standards under the Protection of the Environment Operations (Clean Air) Regulation 2021 (NSW).
Although actual environmental harm was found to be minimal, the Court emphasised the need for due diligence before modifying operations. Cadia’s early guilty pleas, public apology, and evidence of remorse resulted in a 30 per cent sentence reduction.
Further proceedings regarding separate alleged air pollution offences, to which Cadia has pleaded not guilty, remain ongoing.
Regulatory reforms
NSW Government releases its response to the Office of the Chief Scientist & Engineer’s review of the management of asbestos in recovered fines and recovered materials for beneficial reuse in NSW
On 10 July 2025, the NSW Government released its eagerly-anticipated response to the report prepared by the Office of the Chief Scientist & Engineer (OCSE) on the management of asbestos in recovered fines and recovered materials for beneficial reuse in NSW (the OCSE Report). The OCSE Report was provided to the then-NSW Minister for the Environment in December 2024 and published in February 2025.
In its report, the OCSE made a total of nine recommendations for the NSW Government and the EPA to consider, including most notably, that the NSW Government consider ending its long-held “zero tolerance” approach to asbestos waste. We have previously published a summary of the recommendations and findings of the OCSE Report, available here.
Of the nine recommendations in the OCSE Report, the NSW Government unconditionally supports six of the OCSE’s recommendations, including those related to:
- The development of a “through-chain risk-based approach” to managing asbestos in recovered materials, being a method involving the management of risks at each stage of a product’s development and use.
- The development of new guidelines and training.
- Engaging with other jurisdictions.
- Increasing awareness of new technologies.
The remaining three recommendations of the OCSE report are supported “in-principle”. In particular, there is in principle support for the introduction of the threshold recommended by the OCSE for asbestos in recovered fines and materials for beneficial reuse. However, the detail of that threshold is to be the subject of further consultation, including with the NSW Asbestos Coordination Committee (NACC) and industry.
Similarly, the EPA will undertake further consultation before updating the ‘Standards for managing construction waste in NSW’ to include a through-chain risk-based approach by adopting the WA ‘Waste Guideline: Managing asbestos at construction and demolition waste recycling facilities,’ which we note contains the threshold recommended by the OCSE.
What does this mean?
At this stage, no amendments to the Protection of the Environment Operations Act 1997 (NSW) have been introduced, and the current zero tolerance approach to asbestos stands.
However, significant reforms to the legal framework regulating asbestos waste will be forthcoming, and the subject of public consultation. An issue which is likely to be raised during this process is whether some interim changes should be introduced relatively promptly, such as permitting the reuse of materials containing trace amounts of asbestos on a case-by-case basis, pending the development of broader reforms.
In the meantime, the NSW Government’s acceptance of the need to change the existing framework may prove relevant to whether the EPA takes regulatory action in relation to offences involving asbestos waste, particularly in circumstances where the concentration is below the threshold proposed in the OCSE’s Report.
A copy of the NSW Government response is available here.
Draft NSW Waste and Circular Infrastructure Plan
In May, the NSW Government released the first chapter of the Draft NSW Waste and Circular Infrastructure Plan, available here.
Without action, it is predicted that waste may need to be transported to regional or interstate facilities, and collection costs for residents and businesses could increase by around 20 per cent. The chapter also details plans to expand organic waste processing through the rollout of source-separated FOGO (Food Organics and Garden Organics) collections. A Ministerial Advisory Committee will be established to support implementation and investment.
It outlines strategies to manage non-recyclable waste and address Greater Sydney’s projected landfill shortage by 2030. Strategies include:
- Streamlining planning processes to unlock more capacity at existing priority landfills as a short-term solution.
- Finalising the review of the energy-from-waste policy framework to support the construction of energy-from-waste infrastructure, in order to reduce reliance on landfill and increase the resilience of NSW’s waste management system.
- Strategically planning for future waste infrastructure to ensure essential waste services are reliable and affordable for Greater Sydney’s growing population and new developments.
Public consultation closed on 25 June 2025. Next steps include reviewing feedback, releasing a consultation outcomes report, finalising the Plan, and releasing additional chapters later in 2025.
Product Lifecycle Responsibility Act NSW (2025) (PLR Act)
On 28 March 2025, the NSW Parliament passed the Product Lifecycle Responsibility Bill 2025, making NSW the first state to shift from voluntary to mandatory product stewardship. Stewardship requirements and targets may be imposed on every stage of a product’s life cycle, including development, design, creation, production, assembly, supply, use or re-use, collection, recovery, recycling or disposal of the product.
Although not yet in force, the PLR Act establishes a mandatory framework requiring suppliers of high-risk products to take responsibility for the entire lifecycle of their products. Batteries will be the first product regulated under the new regime, including those embedded in everyday items such as vapes, toys, e-bikes, and household electronics.
If a product becomes regulated under the PLR Act, brand owners or product stewardship organisations can be required to, amongst other things:
- Meet stewardship requirements and/or targets.
- Submit an EPA-approved action plan before supplying the product in NSW.
- Notify the EPA or product stewardship organisation before first supplying a regulated product.
- Submit an annual report to the EPA.
- Maintain and share records with the EPA upon request.
- Comply with EPA directions, including stop notices or audits.
- Provide financial assurance to support compliance with stewardship obligations.
The Act empowers the EPA with strong enforcement powers, including penalties of up to $880,000 for corporations.
Further detail will follow as the Minister for the Environment introduces supporting regulations in consultation with industry and local councils. No regulations have been issued to date.