Independent Pilbara MLA, Larry Graham, said the authority would be responsible for the development and effective management of local, environmental and indigenous issues.

Mr Graham argues that if the redevelopment of an inner-city area warrants such an arrangement then it is absurd that the Burrup, which has been described by some as Australia's most valuable real estate, does not.

"The Burrup is infinitely more important and valuable to the State than is a housing development in inner-city Perth," he said.

A spokesman for the Gallop Government said the body would replicate a ministerial sub-committee already established while the Chamber of Commerce and Industry said another layer of bureaucracy would not necessarily improve Burrup management.