This article is from the Australian Property Journal archive
VICTORIAN Premier Daniel Andrews has announced Australia’s first offshore wind target at last Friday’s State of the State speech to CEDA, with first power to be delivered by 2028.
In the first State of the State speech since 2019, the Victorian premier announced a state goal of producing two gigawatts in offshore energy production by 2032, four GW by 2035 and nine GW by 2040.
According to Andrews, this would reflect the equivalent of 20% of the state’s current energy needs, while Victoria’s demand for electricity is anticipated to grow by three to six times by 2050.
While studies have shown that Victoria could support for 13GW of capacity, or five times its current generation, from coastal regions by 2050, with 15 times the current installed renewable energy capacity needed for the state to meet 2050 net zero emissions goals.
“For the first time anywhere in Australia, we will set a minimum target for offshore wind power generation,” said Andrews at the CEDA luncheon.
The offshore wind goal is anticipated to generate thousands of new jobs for the state, while the investments in new projects will stimulate $5.8 billion in economic activity.
According to the Offshore Wind Policy Directions Paper, by investing in and maximising Victoria’s local wind resources, up to 3,100 high quality local jobs could be sustained for the 15 year development and construction phases, with as many as 3,000 jobs created during ongoing operations.
The announcement follows the state government’s commitment to fund new wind projects off the coasts of Gippsland and Bass.
“We welcome the release of the Victorian Offshore Wind Policy Directions Paper today and congratulate the Victorian Government on its leadership in setting strong targets for offshore wind,” said Casper Frost Thorhauge, CEO of Star of the South.
The 2.2GW Star of the South Gippsland project marking the first proposed state offshore wind project in the country.
“Offshore wind offers a bright future for Victoria and will continue Gippsland’s proud history of power generation into the future – creating clean energy, new jobs and investment in the region as coal plants retire over the coming decades,” added Frost Thorhauge.
Meanwhile on land, the country and hemispheres largest wind farm, the $3 billion Golden Plains Wind Farm project in Rokewood, VIC, saw Tag Energy sign up as an equity investor last month.
“Victoria’s offshore wind resources are officially open for business, but the real work starts now,” said Minister for Energy, Environment and Climate Change Lily D’Ambrosio.
The release of an Offshore Wind Implementation Statement, for additional details on the state’s first offshore wind tranche is due to for late 2022.
“We know it will take years to plan and develop the first tranche of wind projects in Australia, due to their complexity, scale, regulatory and infrastructure requirements – and we’re ready to start that journey today,” concluded D’Ambrosio.
