URGENT UPDATE: The Victorian government has just announced the indefinite delay of its September offshore wind auction in Gippsland, following significant concerns from developers over necessary funding commitments. Energy Minister Lily D’Ambrosio revealed this critical decision during her speech at the Asia Pacific Wind Energy Summit in Melbourne on September 16, 2023.
Developers have expressed that they will not proceed without clear government funding and infrastructure support, prompting the government to reconsider its auction plans. D’Ambrosio emphasized, “We have heard clearly from some prospective project developers in offshore wind here in Victoria that they do not want us to open up the auction … until there is certainty about funding as well as the enabling infrastructure,” as reported by the Australian Financial Review.
The delay marks a significant setback for the state’s ambitions in renewable energy, particularly as it struggles to finalize a joint funding deal with the Commonwealth. D’Ambrosio highlighted this as the “central dilemma” for the offshore wind sector in Victoria, stating, “The Commonwealth has a critical and large role to play, and it needs to be more than has been delivered to date.”
The impact of this announcement could be profound, affecting not only renewable energy progress in Victoria but also the broader fight against climate change. As the state grapples with energy transition challenges, stakeholders are eagerly awaiting a new timeline for the auction, which is expected to be released before the end of the year.
This delay comes at a vital moment when the push for sustainable energy solutions is more urgent than ever. The offshore wind sector stands to play a crucial role in Australia’s energy future, and any postponement raises questions about meeting ambitious climate targets and energy security.
Stay tuned for further updates as the situation develops. The urgency for funding and infrastructure commitment has never been clearer, with significant implications on both local and national levels.
