Gippsland will be home to the state's first publicly-owned wind farm

Just before the end of 2025, the Victorian government announced the State Electricity Commission (SEC) will take over development of the Delburn wind farm in Gippsland. 

This marks the third major project undertaken by the revived SEC and the state’s first publicly owned wind farm.

The development, just southwest of the Hazelwood mine, is set to begin construction this year and is expected to lead to hundreds of jobs.

Quick rundown:

• The farm will consist of 33 wind turbines that will generate 103 megawatts of energy (enough to power 130,000 homes).

• It’s estimated the project will provide upwards of 300 full-time jobs during construction. 

• The project aims to begin construction this year and be completed by 2028.

• The SEC will invest up to $700 million of taxpayer’s money into the project.

Minister for the SEC, Lily D'Ambrosio, said in a statement she hoped the project would assist in transitioning local coal mine working jobs into the renewable energy sector.

What is the SEC? (A brief history)

In 1918 the state government appointed a board of Electricity Commissioners responsible for the generation and distribution of electricity throughout the state.

• The commissioners became the State Electricity Commission of Victoria in 1920.

By the 1970s, the SEC owned the majority of the state’s energy system having acquired a number of projects from companies, municipalities and the Victorian Railways. It was involved in the construction of the original Yallourn, Hazelwood and Loy Yang coal-fired power plants.

From public to private: Labor premier Joan Kirner began the privatisation of the SEC in 1992 by selling a 51 percent stake of Loy Yang B power station to Mission Energy. 

This process was continued by Kirner’s Liberal Party successor, Jeff Kennett, who sold off all of the state’s publicly owned generation, transmission and distribution assets.

Back again: In 2022, then-Premier Daniel Andrews announced the revival of the SEC as a key election promise and in October 2024 the Allan government made good on that promise.

Today the SEC is seeking to promote more renewable energy projects to shore up power generation. The state’s aging fleet of coal-fired power stations is becoming less reliable and more expensive to run.

What other projects does the SEC operate?

The Renewable Energy Park in Horsham (a solar and battery farm) and the Melbourne Renewable Energy Hub (a battery farm) near Melton are both owned by the state.

What do local councils and organisations think?

South Gippsland Mayor Nathan Hersey told the Monitor the council is “supportive of any opportunities to bring economic development and employment options into the Gippsland region”.

• 🗣️ “People have been calling for diversification of energy in Gippsland for some time. If this is the state government's response then we welcome it.”

Hersey said the council’s focus is to ensure jobs and procurement are provided to local businesses.

Wendy Farmer, Yes2Renewables Gippsland Organiser, told the Monitor: “The SEC in the olden days was innovative, they tried new things and the SEC today, I believe, is doing the same thing.”

• 🗣️“This milestone marks a major step toward and will deliver cheaper, cleaner energy for Victoria while ensuring that Latrobe Valley communities directly share in the benefits”.

Opposition to the project: In a statement, Nationals MP for Gippsland South Danny O’Brien queried using state funds to invest in the project rather than the private sector.