On 26 August 2026 the state of Victoria announced the opening of a Request for Proposal (RFP) process for its inaugural offshore wind auction, putting 2 GW of capacity on the market. Energy and Resources Minister Jaclyn Symes presented the bid round as “a giant leap towards getting Australia’s first offshore wind projects built”, emphasising the expected attraction of billions in investment and thousands of jobs (Offshore Engineer).
Scope and anticipated output
The auction targets sites off the Gippsland coast, an area identified by developers as having world‑class wind resources. The 2 GW round is projected to generate enough electricity to power roughly 1.5 million Victorian homes each year – a figure echoed across industry coverage (Offshore Engineer; Splash 247). Renewable sources already account for about 45 % of Victoria’s total electricity generation, underscoring the state’s reliance on clean power as ageing coal plants are retired (The Maritime Executive).
Evaluation criteria and local benefits
Bids will be judged on three pillars: value for money, deliverability, and tangible benefits for local workers, businesses and communities. The emphasis on regional employment aligns with the state’s broader transition plan, which forecasts the creation of approximately 68 000 jobs by 2040, 37 % of them in regional areas (Offshore Engineer). Successful developers will move forward to investment, construction and operation phases under contracts that are slated for integration into Australia’s national Electricity Services Entry Mechanism (Splash 247).
Timeline and long‑term capacity goals
The RFP process is scheduled to close in August 2027, with contract awards expected in 2028. This initial round forms part of Victoria’s staged offshore wind programme: a target of 4 GW by 2035 and an ultimate ambition of 9 GW by 2040 (Splash 247). The state already hosts nine active project licences within the declared Gippsland offshore wind zone, collectively proposing more than 20 GW – although only a fraction is anticipated to be selected in this first auction (Splash 247).
Regional and supply‑chain implications
The Bass Strait along Victoria’s eastern seaboard has emerged as an early focal point for offshore wind development. By positioning Gippsland as a hub for port infrastructure and supply‑chain activity, the government aims to leverage the auction to bolster local industry capability and attract international partners (The Maritime Executive).
What this means for operators
Ship owners and charterers should anticipate an uptick in demand for specialised offshore wind installation vessels, heavy lift craft and support barges operating out of Victorian ports such as Port Phillip Bay and Hastings. The integration of contracts into the national Electricity Services Entry Mechanism will likely standardise contractual terms, providing clearer revenue streams for service providers. Operators with experience in fast‑track project delivery and regional workforce engagement stand to benefit from the deliverability criteria embedded in the RFP.
