State seeks fresh feedback on five renewable energy zones, puts one on the back-burner

Victoria has launched consultation on five draft onshore renewable energy zones (REZs) and one “shoreline” REZ proposed for development across the state, in a final call for fresh feedback on sensitive areas, potential impacts, or as-yet unidentified areas suitable for solar and wind development.

Victorian energy minister Lily D’Ambrosio last week issued draft renewable energy zone orders for the Western, Central Highlands, Gippsland, North West and South West zones, as well as for the Gippsland Shoreline REZ, which would coordinate the connection of offshore wind farms to the main grid.

VicGrid says consultation is open on the draft orders until February 22, 2026, offering another window for feedback to help shape development of the “strategic areas” best suited to host new large-scale renewable generation projects over the next 15 years.

Another onshore zone that was included in the August version of Victoria’s 2025 Transmission Plan (VTP) – the Central North REZ – has been excluded from consultation this time around, but VicGrid says more information on a separate consultation process will be provided in early 2026.

As D’Ambrosio said in August, the VTP is the “cornerstone of a new approach” underpinning the state’s transition to renewables, in line with targets of reaching 65% renewable generation by 2030 and 95% by 2035.

The state is also aiming to have at least 2 gigawatts (GW) of offshore wind in operation by 2032, 4 GW by 2035 and 9 GW by 2040.

Led by the purpose built government agency, VicGrid, D’Ambrosio says the plan aims to minimise the necessary renewable energy and transmission infrastructure footprint, while also hitting targets and building a reliable and affordable energy supply based on firmed solar and wind.

VicGrid says the draft plan is the result of an 18-month process of technical work and consultation, including listening and responding to the input from communities, landholders, Traditional Owners and industry.

Each draft order sets out a map of the proposed REZ, transmission projects to enable that REZ, and the intended hosting capacity that it could support. The orders also make it a requirement that developers meet government expectations for community engagement and deliver social value and economic benefits.

“This is a big change that has the potential to leave a lasting legacy for regional and rural Victoria if it’s well managed and planned,” VicGrid CEO Alistair Parker said on Friday.

“Renewable energy zones will play a key role in helping us coordinate the energy transition and ensure that local communities see real benefits and are treated with respect.”

Parker says all of the feedback received on the draft orders will be reviewed and relevant new information will be incorporated to help define zone boundaries or other aspects of the draft orders. D’Ambrosio will then make a decision about formal declaration of the five REZs.

Find details of the draft renewable energy zone orders and how to provide feedback on the Engage Victoria website.

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