The Environment Centre NT Inc v Minister for Resources and Water (No 2) [2021] FCA 1635

The Environment Centre NT Inc v Minister for Resources and Water (No 2) [2021] FCA 1635

The Commonwealth's conduct in timing the Contracts Decision deprived the applicant of an opportunity to seek interlocutory injunctive relief, and lacked evident and intelligible justification in the context of ongoing litigation and correspondence; this constituted legal unreasonableness rendering the Contracts Decision invalid and the contracts void. The other grounds failed as the Minister was not legally required to make inquiries into climate change risks before approving the grants and did not act on material erroneous advice.

Parties
Applicant: The Environment Centre NT Inc; First Respondent: Minister for Resources and Water; Second Respondent: The Commonwealth of Australia; Third Respondent: Imperial Oil & Gas Pty Ltd (ACN 002 699 578)
Jurisdiction
Australia
Judgment Date
23 December 2021
Procedural Posture
Judicial Review / Final Judgment
Outcome
Partial grant of relief; ground 5 upheld, others dismissed
Legal Topics
Judicial Review, Legal Unreasonableness, Grants and Expenditure, Statutory Interpretation, Model Litigant Obligations, Climate Change and Government Decision Making
Administrative Law Constitutional Law Human Rights Judicial Review Legal Unreasonableness Grants and Expenditure Statutory Interpretation Model Litigant Obligations +1 more

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Parties

The Environment Centre NT Inc

Applicant

Minister for Resources and Water

First Respondent

The Commonwealth of Australia

Second Respondent

Imperial Oil & Gas Pty Ltd (ACN 002 699 578)

Third Respondent

Procedural Posture

Judicial Review / Final Judgment

Legal Issues

  1. 1 Whether s 71(1) of the PGPA Act imposes an objective jurisdictional pre-condition for Ministerial approval of expenditure
  2. 2 Whether Minister was required to make reasonable inquiries into climate change and economic risks
  3. 3 Whether the instrument or decision was legally unreasonable, illogical or irrational

Ratio Decidendi

The Commonwealth's conduct in timing the Contracts Decision deprived the applicant of an opportunity to seek interlocutory injunctive relief, and lacked evident and intelligible justification in the context of ongoing litigation and correspondence; this constituted legal unreasonableness rendering the Contracts Decision invalid and the contracts void. The other grounds failed as the Minister was not legally required to make inquiries into climate change risks before approving the grants and did not act on material erroneous advice.

Court Disposition

Partial grant of relief; ground 5 upheld, others dismissed

Orders

  • The Commonwealth's decision dated 9 September 2021 to enter into three contracts with the third respondent is declared invalid.
  • The said three contracts dated 9 September 2021 are declared void.