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Victoria announces targets for 40% renewable energy and net zero emissions!

16 Jun

The Victorian government has announced a target to increase renewable energy from todays ~14% to 25% by 2020 and 40% by 2025. These major targets will require arounnd 5,400MW of new renewable generation to be constructed in the state, incuding wind and solar.

Over 4000 additional jobs in the renewable energy sector are expected during the expected peak year of construction in 2024, and around a 12 per cent reduction in electricity sector greenhouse emissions by 2034-35.

Victorian Premiier and Minister for Energy at Ararat Wind farm to announce the target.

Victorian Premiier and Minister for Energy at Ararat Wind farm to announce the target.

The Premier also announced an auctions scheme – running a series of technology-neutral auctions, as well as solar auctions – which will see project developers compete to be the lowest cost provider.  Successful bids will be given long-term contracts to support their projects. The Energy and Environment Minister Lily D’Ambrosio said the first round of auctions were expected to be held in 2017, with the goal of generating 1,800MW of new capacity and getting it built by 2020.

This comes on the back of a target to reach net zero emissions by 2050. The state will release a series of five-year interim climate change policies and programs to achieve this.

Enhar expects activity in the renewables sector in Victoria will ramp up in the coming years with project development acceleration starting this year.