The Victorian Government has confirmed it will open a request for proposal (RFP) process in September 2025 for its first offshore wind auction, as outlined in its fourth Offshore Wind Energy Implementation Statement released on Tuesday.
The auction is aimed at supporting the delivery of 2 gigawatts (GW) of offshore wind capacity, providing clarity to investors and supply chain partners. Contracts are expected to be awarded before October 2026, the government said.
“The auction aims to support the delivery of 2GW of offshore wind capacity and give certainty to investors and supply chain partners,” the statement read.
The auction will use a contract-for-difference and availability payment model, with payments beginning once generation commences. A confidential registration of interest process, opened last month, allows feasibility licence holders to access detailed information ahead of the RFP stage.
Community engagement will be a key component of the process. Developers will be required to provide additional community benefits beyond those mandated under the Renewable Energy Zones Community Benefits Scheme, the government said.
To support local industry participation, a minimum of 80% local content will be required during the operations and maintenance phase of the first round of projects, set to begin in 2032. In addition, at least 10% of labour hours during this phase must be completed by apprentices, trainees, or cadets.
The state will also offer grants of up to A$4.9 million to establish a Wind Worker Training Centre, aimed at preparing a skilled workforce for the emerging offshore wind sector.
Victoria has legislated targets for offshore wind development, including 2GW by 2032, 4GW by 2035, and 9GW by 2040.
