Inquiry into the Victorian electrical transmission grid

On 4 September 2024, the Economy and Infrastructure Committee agreed to the following self-referral motion:

That this Committee inquire into, consider and report by 19 December 2025, on the expansion of Victoria’s high-voltage power transmission system as proposed by AEMO, VicGrid and the Transmission Company Victoria (TCV) and the expansion of Victorian transmission connections associated with the Victorian government’s proposed “renewable energy zones”, including:

a. the suitability of the existing plan/s for development of the Victorian power grid, including predictions for future electrical demand, and the accuracy and adequacy of economic modelling used in the cost-benefit analyses undertaken to date;

b. the predicted impact on the uptake of Victorian lower emissions energy generation due to construction of the VNI-West interconnector and the Western Renewables Link, and the predicted impact of the introduction of Victorian “renewable energy zones”;

c. the longer-term necessity or otherwise of interconnectors and augmented high voltage transmission networks, in the light of increased distributed generation, evolving energy storage technologies, and other factors;

d. investigation of best practice in construction of new high voltage transmission systems, including the re-use and/or sharing of easements, alternating versus direct current, and the feasibility of undergrounding, with reference to national and international experience;

e. improvement of the planning rules and processes, including requirements for:
i. proponents to consult with affected communities;
ii. proponents to be accountable for actioning and responding to feedback received from communities;
iii. adoption of best practice planning principles, including increasing resilience and reduction of risk to the community;
iv. whether the proposed compensation schemes are adequate;
v. initial project approval evaluations which capture and assess the full environmental, economic, social, risk reduction and health impact; and

f. to conduct hearings, take submissions and call for documents as appropriate, and the Committee may make interim reports if it so deems.