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An overview is presented of recent work on the environmental changes impacting on Australia and the policy responses of the State and Commonwealth governments, especially over the last ten years. This period has seen a remarkably stable phase of conservative government administration in Canberra and consistent resistance to a strong environmental policy agenda, both domestically and internationally. Attention is focused particularly on rural and regional Australia, rather than on urban areas. The paper discusses the role of environmental issues in recent elections and also details the results of relevant opinion polls charting changes in environmental attitudes. The problems posed by the federal system of administration are outlined as are recent analyses and counter-analyses of the state of the Australian environment. A more fundamental problem with liberal democracy and environmental values is also addressed. [ABSTRACT FROM AUTHOR]