The Victorian Government has launched the State Electricity Commission’s (SEC) Pioneer Investment Mandate, the next step for the first government-owned renewable energy project.
The mandate calls for the successful projects to be in Victoria and contribute to the SEC’s objectives of accelerating the transition away from coal. This will supply reliable and affordable zero-emissions power to Victorian households, businesses and industries.
Victorian Minister for the State Electricity Commission, Lily D’Ambrosio, launched the SEC’s Pioneer Investment Mandate, which includes the project criteria for the SEC’s first investment – to be announced by the end of 2023.
“We’re bringing back the SEC to give our state greater control of our power supply, owned by Victorians, for Victorians – delivering more reliable and affordable energy and a new 59,000-strong skilled workforce,” Ms D’Ambrosio said.
“This is an exciting milestone for the SEC. We look forward to working with our partners to increase the amount of reliable, zero-emissions energy in the market by building and investing in renewable generation and storage.”
The SEC has been in discussions with potential investors and renewable energy companies – the next step is to open a registration of interest process, which will invite potential market participants to identify suitable renewable energy generation and storage projects across Victoria from 2 May 2023.
The market search will also help build a pipeline of longer-term investment opportunities, generating jobs and investment while helping Victoria achieve its nation-leading renewable energy targets.
It must deliver commercial returns and use proven renewable energy and/or storage technology. There is a minimum target of 100MW in size, with a preference for larger capacity. Projects must begin operations and deliver electricity as soon as possible.
Bringing back the SEC will speed up Victoria’s transition to 95 per cent renewable energy generation by 2035, and help reach the target of net zero emissions by 2045 – creating 59,000 jobs in the renewable energy sector.
The SEC will invest an initial $1 billion towards delivering 4.5GW of power through new build renewable energy and storage projects – the equivalent capacity of coal-fired power station Loy Yang A, which is set to close in 2035.
The government-owned SEC will invest strategically to accelerate Victoria’s transition to a zero-emissions electricity system in partnership with the private sector and current and future government initiatives. With input from the Expert Advisory Panel, the SEC is developing a ten-year strategic plan to inform its long-term investment mandate.
