Coulter now remains eligible to be considered for release on parole in January 2033 and will be deported back to New Zealand.
Initially, he had to serve 19 years before potential freedom, as he was eligible for release on parole in January 2037, ABC reports.
The Court of Appeal strongly disagreed the sentencing judge, AAP reports.
"While the offence does not fall within the 'worst category', it is nevertheless a very serious example of its type, bearing in mind the aggravating circumstances," the appeal judges said.
While the victim was abused, she was forced to watch pornographic films involving children and was given a pipe to smoke containing a stupefying substance.
The girl said in her victim impact statement that she sometimes felt guilty.
The girl's mother and stepfather, who cannot be named, have also pleaded guilty and will face a sentencing hearing next week.
Police launched Taskforce Mirzam after a member of the public discovered a device containing videos of the girl being sexually abused.