Environmental or biodiversity offset policies allow for impacts occurring at one site to be offset through activities at another site. The federal government has recently released a policy for offsetting the impacts of activities approved under the Environment Protection and Biodiversity Conservation Act 1999 (Cth) (EPBC Act). The EPBC Act policy can be used to offset impacts on terrestrial and marine ecosystems, and one of the first applications of the policy has been to offset impacts on seagrass meadows at risk due to the Abbot Point coal terminal expansion.The significant ecological differences between terrestrial and marine ecosystems, such as seagrass meadows, require different management approaches to ensure that impacts are offset. This article analyses the EPBC Act policy to determine whether it adequately caters for offsetting impacts on marine ecosystems, with seagrass used as an example. It concludes with recommendations for policy change directed at ensuring that the unique characteristics ofseagrass ecosystems are considered in offset policies.