Vic Gov Greenlights Offshore Gas Storage to Boost Supply Security

The Victorian Government is rolling out legislation to permit offshore gas storage projects in its waters. This move aims to enhance gas storage capabilities while helping reduce demand for gas, as the state transitions to a cleaner energy future. Energy and Resources Minister Lily D’Ambrosio and Planning Minister Sonya Kilkenny presented the bill to the Victorian Parliament to kick-start the consultation process for the state’s energy transition.

Minister D’Ambrosio emphasized that the new legislation will bolster gas supply while supporting Victorian households in transitioning to electric alternatives. “Our legislation allows the development of offshore gas storage projects, helping secure gas supply as we encourage Victorians to electrify their homes and save money from day one,” she said.

To ensure Victorians’ voices are heard during the transition, the government introduced the Building Legislation Amendment and Other Matters Bill 2024. The bill paves the way for consultations on electrifying homes when gas appliances reach the end of their lifespan. Minister Kilkenny stated, “We’re listening to Victorians on how we want to transition while helping households switch to electric appliances and save money.”

The proposed legislation will not affect gas cooktops, commercial gas appliances, or the use of LPG in homes. However, all new homes requiring a planning permit must already be built fully electric. The government is considering expanding this requirement to cover more new homes and commercial buildings as part of its energy transition.