Ørsted, the global leader in offshore wind, has been awarded a feasibility licence by the Australian Government to develop large-scale offshore wind farms off the coast of Gippsland, Victoria.
The Australian Government announced that it has granted a feasibility licence for Ørsted’s first project and intends to grant a licence for a second project, subject to First Nations consultation.
The licences provide Ørsted with site exclusivity to develop the two offshore wind areas. Ørsted’s successful feasibility licence applications were assessed through a competitive process based on merit criteria outlined in the Australian Offshore Electricity Infrastructure Act and supporting regulations.
Ørsted’s far-shore project sites are located 50-100 km off the coast of Gippsland, Victoria. They are situated beyond the visible eyeline from the shore and benefit from excellent wind conditions.
This next steps for the projects include site investigations, environmental assessments, and supply chain development. Ørsted will progress the projects with a view to bid in future auctions run by the Victorian Government, supporting the state’s target of 9 GW offshore wind by 2040.
Subject to these steps and a final investment decision, the projects are expected to be completed in phases from the early 2030s, with the aim to maximise dual site synergies through shared resources and economies of scale.
Ørsted estimates the cluster has the potential to generate a combined 4.8 GW of renewable energy. This will eventually power the equivalent of 4 million Australian homes, making a significant contribution to the country’s decarbonisation goals.
With its ‘build, own, and operate’ business model, Ørsted intends to be a long-term partner for Australia. The project is set to create thousands of jobs and will support local talent in joining the industry through technical knowledge and skills transfer programs.
Ørsted is committed to upholding the highest standards of environmental stewardship and community engagement, including with Traditional Owners, throughout the development process.
Per Mejnert Kristensen, CEO of Region Asia Pacific at Ørsted, said:
“With more than 30 years’ experience and unparalleled expertise in large-scale offshore wind projects, Ørsted is pleased to be awarded licences to help launch Australia’s new industry and accelerate the nation’s renewable energy transition.”
“We believe we’ve secured the best possible sites and that our proposed projects in Victoria will deliver reliable, cost-effective renewable energy. We look forward to delivering long-term benefits for communities, the economy, and the environment in Gippsland and beyond.”
“We’re confident that Australia has all the ingredients to become a thriving and highly investable offshore wind market. We’ll continue to work closely with the Commonwealth and the Victorian State governments, and all stakeholders, to ensure the projects create sufficient value for all.”
Ørsted acknowledges the Gunaikurnai people’s spiritual connection to their lands, waters, and sky. Since the first sunrise, the Gunaikurnai people have cared for and nurtured the sacred land on which our project will be developed.
We will embrace the legacy of their ancestors by valuing the resilient culture they have maintained for thousands of years. Together, we will build an authentic relationship with the Elders past and present with respect and to enable their direct benefit.
Ørsted Asia Pacific Media Relations
Alex Finlayson
alefi@orsted.com