Wind Energy – Auction
The Australian state of Victoria will open an offshore wind tender in August 2026 for an initial 2 GW of capacity, Victoria’s Minister for Energy and Resources announced on 27 January.
In December, Australia’s Energy Ministers provided in-principle support for the Electricity Services Entry Mechanism (ESEM), providing a pathway for new renewable energy projects, including offshore wind, that support Victoria meeting our renewable energy targets.
Work continues with the industry and the Commonwealth to finalise the design of the ESEM and Victoria’s auction process to ensure a competitive and successful auction.
Victoria has some of the best offshore wind resources in the world – being able to harness this energy will further diversify and stabilise our state’s power supply, helping power the state as our ageing coal-fired generators retire – keeping the lights on and continuing to keep downward pressure on power bills.
Thanks to our record investment in renewable energy, Victoria consistently has the lowest wholesale electricity prices in the country. Building more new renewable energy sources adds more affordable energy to the grid and helps to lower power bills for everyone.
The offshore industry is expected to create over 6,000 jobs and generate billions in investment. Gippsland has always been critical to keeping the lights on across Victoria – and it will continue to be into the future as it hosts the country’s first offshore wind projects.
