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Home News

Victoria looks at five distinct new renewable energy zones

by Staff writer
November 26, 2025
in Electricity, News, Sustainability
Reading Time: 3 mins read
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Image: francescomou/stock.adobe.com

Image: francescomou/stock.adobe.com

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Victoria will investigate the potential for defining five renewable energy zones across the state in an effort to establish greater clarity for communities and industry in the transition.

Others are set to be called the Western, Central Highlands, Gippsland, North West and South West zones, with public consultation on the zones open until February 22, 2026.

A draft order has also been issued for the Gippsland Shoreline REZ to help coordinate the private underground cables that will connect offshore wind to the shared network.

The zones have been earmaked into five distinct areas:

Western

The draft Western REZ encompassed two zones either side of Horsham – one extending from Minyip in the south-east to Hopetoun in the north, with the other between Stawell to Donald.

These zones have a 220kV transmission line extending through or bordering the area, with the Victoria to New South Wales Interconnector (VNI) West and Western Renewables Link set to built proximate to this.

Central Highlands

The draft Central Highlands REZ spans the Golden Plains, Corangamite and Pyrenees local government areas south-west of Ballarat. This includes existing 500kV and 220kV transmission lines extending through or bordering the zone.

Gippsland

The draft Gippsland REZ is located between Morwell and Sale and includes existing 500kV and 220kV transmission lines, the proposed Marinus Link that connects with north-east Tasmania and the Latrobe Valley in Victoria, and a draft offshore wind transmission line that connects with the coastal Gippsland Shoreline REZ.

North West

The draft North West REZ is located between Kerang and Swan Hill and includes an existing 220kV transmission line as well as the proposed VNI West.

South West

The draft South West REZ encompasses two zones – one south-east of Hamilton between Macarthur and Darlington and the other north-west of Hamilton near Coleraine. An existing 550kV transmission line extends through the southern section of the South West REZ.

Feedback to be gathered

VicGrid is also gathering insights from the community to shape the development of the renewable energy zones, with plenty of consultation and technical work already invested in the initial determination of the zones.

“We are now seeking any significant new information about sensitive areas, potential impacts or areas that are suitable for development that wasn’t identified in previous rounds of consultation,” VicGrid said.

VicGrid chief executive Alistair Parker said renewable energy zones give communities and industry more clarity and certainty around infrastructure development, helping to minimise impacts and reduce costs.

“Coal-fired power stations are becoming unreliable and closing down and the cheapest option to replace them is solar and wind generation backed by storage and transmission infrastructure,” he said.

‘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.

“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.”

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