Australia slashes offshore wind zone to focus on power hungry Victoria

Neighbouring South Australia won't now feature as plans honed for state with booming demand for green electricity

The city of Melbourne, Victoria.
The city of Melbourne, Victoria.Foto: Shutterstock

Australia has declared a third offshore wind zone in the country in a sector of the Southern Ocean lying off Victoria, a state where demand for electricity is boosted by the presence of an aluminium industry.

A joint statement by climate change and energy minister Chris Bowen and his state of Victoria counterpart Lily D'Ambrosio pledged that the creation of the offshore wind zone would "support future onshore manufacturing in Victoria powered by cleaner, cheaper energy.

“Western Victoria is well suited to offshore wind, with world-class wind resources, high-quality shipping infrastructure and an aluminium smelter that draws up to 10% of Victoria's electricity,” the statement read.

The government expects this zone can generate up to 2.9GW of offshore wind, sufficient to power more than 2 million homes.

The designated offshore wind zone covers an area of 1,030 square kilometres, about one fifth of the originally proposed area. It is located at least 15 – 20km from Victoria’s coast.

In its statement, the Australian government stressed that the selected zone no longer includes an area off South Australia state. Environmental concerns and negative perceptions about the extent of local benefits, fueled opposition in this less industrialised state.

“The Southern Ocean offshore wind zone has the potential to create thousands of new, high-value jobs and help secure cleaner, cheaper more reliable energy for regional Victoria,” said Bowen.

“Australia has abundant renewable energy, the cheapest form of energy, and the government is committed to helping Australians benefit from these natural resources, including offshore wind.”

Feasibility licence applications for offshore wind projects in the Southern Ocean zone will open from 6 March until 2 July 2024.

During the feasibility licence stage, developers must undertake detailed environmental assessments and engage in further consultation, including how the project will coexist with shipping, tourism and fishing industries.

“Victoria is leading the way in offshore wind, with the first wind zones in the country declared off the coast of Gippsland and the southwest coast,” said Minister D’Ambrosio.

“This is another step closer to delivering our target of at least 2GW of offshore wind energy by 2032 and will also help us get to net zero by 2045.”

Australian Prime Minister Anthony Albanese came to power in 2022 promising the country would become a major proponent of clean energy. The Labor Party leader pledged that the creation of clean energy jobs would make the issue less politically divisive in the country, and "end the climate wars."

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Map of declared offshore wind area in the Southern Ocean.Foto: Australlian government
Map of Southern Ocean consultation zone, showing earlier areas of interest for offshore wind.Foto: Australian government
Published 6 March 2024, 11:12Updated 6 March 2024, 11:12
South AustraliaAustriaVictoriaAnthony AlbaneseChris Bowen