As of 2015, the Australian Koala Foundation estimates that there are less than 80,000 koalas left, with the possibility of that number being as low as 43,000. In 2012, the government of Australia changed the status of the koala to vulnerable, meaning that the species is in decline.
The decline in koalas is due to the destruction of its natural habitat. Koalas need eucalyptus trees to survive. A koala's diet consists mainly of eucalyptus leaves and the koala spends most of its time sitting and sleeping in these trees. With advancing development, much of the koala's natural habitat is being torn down.
Protection of the habitat is passed from the federal government to state government to local government. The local government has the least amount of money and resources to effectively protect koala habitats.