Victoria is facing energy shortages and blackouts from 2026 as new documents reveal the Allan Labor Government will be unable to sufficiently increase electrification to compensate for looming gas shortfalls.
Government briefing documents obtained by the Victorian Opposition under Freedom of Information have revealed in July 2023 the Department Energy, Environment and Climate Action (DEECA) warned electrification in Victoria cannot occur quickly enough to address forecast daily, monthly and annual gas shortages in Victoria across 2026 and 2027.
The Department also confirmed “New gas supply will be needed to maintain reliable supply to gas consumers and to support increasing utilisation of gas power generation which will provide critical firming services as coal generation exits the National Electricity Market (NEM).”
These statements directly contradict claims made by the Minister for Energy, Lily D’Ambrosio, in March 2024, who said “With the new winter peak for electricity we’ve already got that built and we’ve already got enough generation to meet that switchover.”
In addition, DEECA warned all current energy supply and infrastructure projects face “a range of challenges” and that no project can be guaranteed given the overall investment uncertainty in the marketplace. It went on to note that the “Victorian EES process constitutes the lengthiest statutory lead-time for gas and renewable energy projects.”
The Nationals’ Member for Morwell, Martin Cameron, said Labor had mismanaged the grid and failed to ensure resilience of the network for a decade.
“Shutting down our coal-fired power stations and ripping the state off gas without a plan to keep the lights on is a recipe for disaster,” Mr Cameron said.
“Last year AEMO also confirmed that Victoria was the worst state in Australia for energy security and predicted that Labor’s accelerated closure of Yallourn will only exacerbate the problem.
“I support a sensible and considered transition to renewables, but Labor’s plan is neither sensible nor considered.
“The SEC will not deliver enough renewable energy to meet demand in time for the accelerated closure of coal-fired power stations.
“Labor can’t manage money, can’t manage the state’s energy, and Victorians are paying the price.”