Learn how new projects are approved
Approvals
All new projects must meet environmental, cultural heritage and planning approvals before they can proceed.
Community Engagement Review
The Australian Government on the 2 February 2024 released the Community Engagement Review and accepted in principle all its recommendations.
The review was commissioned in July 2023 to advise on improving community engagement on renewable energy infrastructure developments.
The Review made the following recommendations:
• encourage best practice and select reputable developers for new projects
• reduce unnecessary and onerous community engagement by improving the way project sites are selected
• make engagement more efficient by revising planning and approval processes
• improve complaint handling processes
• keep communities informed about the transition, including its goals, benefits and requirements
• equitably share the benefits of the transition.
Learn more here
Solar energy
The Victorian Minister for Planning is the responsible authority for new planning permit applications of all energy generation facilities that are 1 megawatt or greater. This includes solar energy facilities. Learn more here.
Onshore wind farms
The Victorian Minister for Planning is the responsible authority for new planning permit applications of all wind energy generation facilities that are 1 megawatt or greater. These applications are assessed against the local planning scheme to ensure they are affordable, environmentally friendly and beneficial for the local community. Learn more about the planning process here.
Offshore Wind farms
The Federal Minister for Energy and Climate Change has the authority to declare areas within Commonwealth waters (three nautical miles from the coast) open for offshore wind development. Minister Chris Bowen declared 15,000km of the waters off Gippsland, between Lakes Entrance and Wilsons Promontory, open on 22 December 2022. Declared area in the Gippsland Region
The Victorian Government has released an Implementation Statement 3 including updates on procurement approaches, legislative and regulatory reform, supply chain and local supply, and transmission and ports. It also outlines an approach to protecting the environment and continued commitment to working with Traditional Owners and support meaningful steps to self-determination.
Pre-feasability activity
Before an area is officially declared suitable for offshore wind, a developer may start earlier investigations in possible offshore wind areas. This is called ‘pre-feasibility activity’ and can include:
- consulting with the community to understand their concerns or opportunities
- doing assessments on the environment, such as understanding more about migratory birds and marine life in these areas.
Communities in Gippsland have already seen some of this developer activity. Three offshore wind developers have been funded through the Energy Innovation Fund to do pre-feasibility activity.
Feasibility licence-Current Stage
In May 2024, the Hon Chris Bowen MP Federal Government Minister for Climate Change & Environment granted feasibility licences for 6 offshore wind projects located off the coast of Gippsland.
If feasibility is proven, developers can then apply for a commercial licence to build an offshore wind project to generate electricity commercially.
These include:
- High Sea Wind Pty Ltd
- Gippsland Skies Pty Ltd
- Blue Mackerel North Pty Ltd
- Kut-Wut Brataualung Pty Ltd
- Ørsted Offshore Australia 1 Pty Ltd (Gippsland 01)
- Star of the South Wind Farm Pty Ltd
Commercial licence
To apply for a commercial licence, developers must have received all other relevant approvals, including environmental approvals.
Before deciding whether to grant a commercial licence, the Australian Government may require the developer to conduct specific kinds of consultation.
If the commercial licence is granted, which is for a period of 40 years, the construction of the wind farm can commence.
Learn more about establishing offshore wind here.
Gippsland offshore wind industry a step closer to reality
The Government intends to grant another six licences, subject to First Nations consultation.
These include:
- Iberdrola Australia OW 2 Pty Ltd (Aurora Green)
- Greater Gippsland 2 OWP Project Pty Ltd (Gippsland Dawn)
- Navigator North Project Pty Ltd
- Ørsted Offshore Australia 1 Pty Ltd (Gippsland 02)
- Kent Offshore Wind Pty Ltd
- Great Eastern Offshore Wind Farm Project Co Pty Ltd
Together if the 12 projects progress to production they could generate 25 GW of electricity.
The proposed projects could create over 15,000 jobs during construction and another 7,500 ongoing jobs.
Minister for Climate Change and Energy Chris Bowen said Australia’s offshore wind industry presents a huge opportunity for the regions that have powered our country for generations.
Transmission lines – Federal Government role
The current process for building transmission projects in Victoria is:
- The Australian Energy Market Operator (AEMO) forecasts what is needed at a national level – and when – in its Integrated System Plan.
- AEMO Victorian Planning (AVP) identifies the best project to meet the need through a cost-benefit analysis (the regulatory investment test for transmission), including a proposed location for the project.
- AVP then runs a contestable procurement process to award a contract for the selected project’s design, construction, ownership and operation.
- The successful proponent undertakes a detailed project design and relevant planning and environmental approvals, including determining a preferred project route.
Learn more about the process for planning and building transmission.
Transmission lines – State Government role
The Victorian Government, through VicGrid, also plays a role in transmission development in Victoria.
- developing the Victorian Transmission Investment Framework – REZ Community Benefits. To be involved in consultation processes, visit Engage Vic.
- coordinating the planning and development of our renewable energy zones (REZs)
- overseeing investment decisions related to the $540 million REZ Fund
- working with AEMO to identify network investments
- working on a preliminary design of the Victorian Transmission Investment Framework
- partnering with AEMO to deliver the transmission required to connect new offshore wind resources to the grid.
The role of local government
Local governments cannot approve or decline large scale renewable energy projects. Local governments can build regional partnerships with and advocate to state and federal governments. Local governments can influence residential and industrial land supply through local planning, can support business in securing new supply chains and can keep communities informed. Gippsland local governments involved in responding to new energy projects include:
Latrobe City Council – Our Transition
Wellington Shire Council – Renewable Energy Planning
South Gippsland Shire Council – Renewable Energy Projects
One Gippsland – Offshore Wind Policy
Traditional Owner rights and interests
Traditional Owners have unique legal rights and interests across their Country. These include rights and interests under the Native Title Act 1993 (Cth), Traditional Owner Settlement Act 2010 (Vic), Aboriginal Heritage Act 2006 (Vic) and the Charter of Human Rights and Responsibilities Act 2006 (Vic).
The Gunaikurnai are traditional owners of the land and waters bordering much of the proposed renewable energy zone. The declared offshore wind zone borders on land and waters which the Gunaikurnai people hold Native Title over and which the State of Victoria have entered into an agreement with Gunaikurnai people under the Traditional Owner Settlement Act 2010. The area also takes in the seabed which in recent archaeological history was occupied by Gunaikurnai ancestors.