Agriculture
10 August, 2025
VNI’s blowout billions
Renewed anger after report tips $11 billion bill THE cost of Victoria controversial VNI West renewable energy transmission line project could blowout to more than $11 billion. Australian Energy Market Operator’s admission that the project had...
Renewed anger after report tips $11 billion bill
THE cost of Victoria controversial VNI West renewable energy transmission line project could blowout to more than $11 billion.
Australian Energy Market Operator’s admission that the project had jumped past the original $3.6 billion price tag came a day after Loddon farmers joined the latest protest on the steps of Parliament House in Melbourne.
Farmer anger remains high after the State Government introduced legislation that will fine landowners up to $12,000 if they refuse access for renewable energy developers.
The Bill was passed in the Legislative Assembly last week on party lines. Ripon MP Martha Haylett voted for the new laws.
The VNI West blowout has seen calls from Victorian Farmers’ Federation president Brett Hosking for the Government to head back to the table on renewable energy planning.
He said the estimated cost blowout adds further weight to calls for the project to be scrapped.
“We know this is a failed project and this report only adds to calls for the Government to scrap it entirely.”
“To date the energy transition has been a failure and the Victorian Government is risking smooth and reliable energy transmission by continuing to force the VNI West project through,”
Mr Hosking said the Victorian Government’s handling of the energy transition has been incredibly clumsy, particularly in how they engage and partner with rural communities along both VNI West and WRL projects and it was time for an urgent rethink and change of approach.
“Owning their mistakes and starting again with landholders and community as partners is the only way to deliver a smooth and timely transition.”
“Farmers know we need deep, economy wide cuts to emissions. We know the world is changing and we’re part of that change, but we won’t cop being steamrolled in the process.”
“There’s huge opposition to this project throughout rural communities, and rightly so.
“This won’t change until the Government and AEMO revisit their approach and treats farmers and our rural communities with the respect they deserve,” Mr Hosking said.
Mallee MP Anne Webster said: “Labor’s radical rewiring plans are now an evident failure after VNI West recently also pushed back its completion date by two years.
“No matter what spin and diversion Energy Minister Chris Bowen tries in Question Time, such as citing wholesale not retail, that is household energy prices, power prices are going up and will keep climbing rapidly if the Albanese Government backs the Allan Victorian Labor Government’s aggressive push to build VNI West, come hell or high water.”
Victorian Energy Police Centre director Bruce Mountain has predicted VNIWest’s cost revisions could increase power bills for households by at least 50 per cent, and for large customers between 2.5 to 3.5 times current levels.
VNI West still faces energy regulator approval where it must demonstrate a net benefit to consumers.
The delay to completion of VNI West, now tipped to be 2030, comes as at least two other renewable energy projects in the Loddon Shire remain years behind schedule.
More than 3600 solar panels were to have been installed at Derby and connected to the grid last year by Sungrow. Work is still to start.
And construction of a 200 megawatt Campbells Forest Solar Farm is expected to generate enough clean power for approximately 71,500 households, was to have started two years ago and be finished last month.
Neither project has started and enquiries to the companies by the Loddon Herald go unanswered.