The Victorian government is doubling down on its ambition to become Australia’s offshore wind powerhouse, announcing a AU$124.5 million investment to fast-track the development of the Victorian Renewable Energy Terminal at the Port of Hastings.
The funding will progress the Environmental Effects Statement (EES) process required for the heavy-duty port. If approved, the terminal will be the first of its kind in the nation, serving as an assembly hub where massive turbines can be constructed before being shipped out to sea for installation.
The push for offshore wind comes as Victoria records the lowest wholesale electricity prices in the country, a trend the government attributes to its extensive renewable energy roll-out.
Harnessing the world-class wind conditions off the Gippsland coast has the potential to maintain energy security as the state’s ageing coal-fired power stations head toward retirement.
“Only Labor will build the offshore wind energy Victoria needs to power our homes and lower energy bills,” said Minister for Energy and Resources Lily D’Ambrosio.
The offshore wind industry is projected to create more than 2,370 jobs and attract billions in private investment at its peak. The government is preparing to open the auction for the first two gigawatts of offshore wind energy this August, an output capable of powering approximately 1.5 million Victorian homes.
However, the Port of Hastings project must navigate environmental hurdles. Minister for Ports and Freight Melissa Horne emphasised that the technical assessments would be focused on protecting the nearby Ramsar-listed wetlands to ensure the project meets strict environmental criteria.
Following the completion of the EES and community consultation, works at the Port of Hastings are expected to proceed subject to planning approvals.