Offshore wind energy will need to connect to Victoria’s power grid.

VicGrid is developing the shared transmission line to connect offshore wind energy generated off the Gippsland coast to the grid.

Without this coordination, offshore wind energy developers would develop multiple, private transmission lines.

We want to avoid the spaghetti effect of powerlines criss-crossing the landscape and reduce impacts on people’s homes, livelihoods, power bills and the environment.

Gippsland offshore wind transmission study area

We’ve consulted extensively on early planning for the transmission infrastructure that will bring offshore wind energy from the Gippsland coast to the Latrobe Valley.

With your feedback, we developed an options assessment method that helped us balance a range of factors, including:

  • maintaining a secure and reliable system
  • minimising cost to consumers
  • the preferences of communities and First Peoples hosting this critical infrastructure.

We’ve now identified a study area and connection hub area that starts approximately 6 km from the coast near Giffard and travels northwest past Stradbroke West to Willung, across to Flynns Creek and then to the Loy Yang Power Station.

Study area map

View our interactive map of the study area.

How community feedback has shaped our thinking

We heard strong feedback from the community that they wanted us to investigate:

  • the use of public land to minimise impacts to agricultural land
  • the possibility of aligning with existing infrastructure.

In response to this feedback, we have developed a study area based on a preferred corridor that:

  • avoids major townships
  • includes a lower proportion of agricultural and private land than most other options
  • includes areas of existing infrastructure to allow for alignment to be investigated.

Next steps

Now that we have selected a study area, the next steps involve refining and narrowing this area to a corridor (and then a route) using detailed studies, on-the-ground assessments and engagement with landholders, farmers and community members.

Gippsland offshore wind transmission technology

The proposed transmission technology is a double circuit 330 kilovolts (kV) or 500 kV overhead transmission line. Further detailed analysis is needed to determine whether 330 kV or 500 kV is the best solution.

We investigated multiple combinations of technologies, including fully undergrounding the transmission line.

While undergrounding is technically feasible, after careful analysis it was ruled out as an option due to challenges including cost, engineering complexity, procurement and timing.

Our analysis found an overhead line would cost between approximately $700 million and $1.5 billion, while undergrounding would cost between approximately $2 billion and $4.5 billion, with the extra expense largely due to the additional infrastructure construction costs required.

Those additional costs would be paid for by all Victorian homes and businesses through higher power bills. While we received feedback that some local communities would prefer underground lines, we also received feedback that the impact on bills was an important consideration for many.

You can find more information about our decision-making in the Gippsland options assessment report, Gippsland options assessment community summary and transmission types factsheet.

Find out more about offshore wind transmission in Gippsland

Contact us and learn more

To speak to our team, please call 1800 418 341 or email

Visit Engage Victoria to learn more about how we’re engaging communities on the new study area.

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Page last updated: 17/06/24