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Our renewable energy targets

Victoria's current renewable energy targets legislated in the Renewable Energy (Jobs and Investment) Act 2017 (Vic) are:

  • 25% by 2020 (achieved)
  • 40% by 2025
  • 50% by 2030.

Meeting our targets will:

  • create investment in new renewable energy projects in Victoria
  • support the reliability of Victoria’s electricity supply
  • create thousands of jobs
  • put downward pressure on electricity prices
  • reduce emissions from electricity generation.

We have recently announced an intention to legislate updated targets of:

  • 65% by 2030
  • 95% by 2035.

These targets were based on energy market modelling undertaken for DEECA by Jacobs and economic impacts modelling carried out by PwC.

Read the reports

Our energy storage targets

Victoria’s energy storage targets will be legislated. They are:

  • at least 2.6 GW of energy storage capacity by 2030
  • at least 6.3 GW by 2035.

The energy storage targets will include short, medium and deep duration energy storage systems, allowing energy to be moved around during the day and also to be supplied through longer duration imbalances.

The firm capacity delivered by these targets will provide reliable, affordable and clean energy as Victoria’s ageing and increasingly unreliable coal generation is replaced with new renewable. The investment required to achieve Victoria’s energy storage targets is estimated to deliver around 12,700 two-year jobs and $1.7 billion (in net present value terms) to Victoria’s economy from 2023 to 2035.

We will work closely with stakeholders to ensure that energy storage is developed in a timely and efficient manner. We will update this page as this work progresses.

VRET progress reports

The VRET progress reports show how we are progressing towards our renewable energy and storage targets.

Renewable energy reached 37.8% of Victoria’s electricity generation – over twice as much as 5 years ago. This growth puts Victoria well on track to achieve our next goal of 40% renewable electricity by 2025.

Figure 2: Victorian renewable electricity generation share, 2013/14 to 2022/23

Figure 2: Victorian renewable electricity generation share, 2013/14 o 2022/23. 20213-14 = 12.2%, 2014-15 = 11.6%, 2015-16 = 14.2%, 2016-17 = 16%, 2017-18 = 18.1%, 2018-19 = 21.2%, 2019-20 = 24.3%, 2020-21 = 29.3%, 2021-22 = 34.1%, 2022-23 = 37.8%

Highlights from the 2022/23 progress report:

Continued increase in renewable energy generation from wind and solar farms, including rooftop PV systems across the state, contributing 7.9% of electricity generation.

17 large scale renewable projects with a combined capacity of 1,734 MW are under construction or undergoing commissioning.

11 new large scale solar and wind projects with a combined capacity of 1,307 MW commenced construction; electricity sector greenhouse gas emissions fell to around 38.0 Mt of CO2-e.

Figure 4: Emissions from electricity generation in Victoria, 2013/14 to 2022/23

Figure 4: Emissions from electricity generation in Victoria, 2013/14 to 2022/23. 2013-14 = 1.05, 2014-15 = 1.05, 2015-16 = 1.04, 2016-17 = 1, 2017-18 = 0.93, 2018-19 = 0.89, 2019-20 = 0.84, 2020-21 = 0.80, 2021-22 = 0.75, 2022-23 = 0.70

Victorian Renewable Energy Target auctions VRET1 and VRET2

The Victorian Renewable Energy Target auctions VRET1 and VRET2 help us meet our renewable energy targets by providing long-term contracts that create investment certainty to build new energy generation projects.

Ensuring benefits for host communities

It is important that renewable energy developments deliver benefits for host communities. Our guide for developers outlines requirements to undertake respectful and considered engagement with host communities; as part of any project and deliver long-term benefits.

Page last updated: 20/02/24