The Federal Government has officially declared the Southern Ocean Wind Zone, covering an area of 1,030 square kilometres off the coast of Warrnambool and Port Fairy in Victoria. 

The announcement outlines the nation's third offshore wind zone, set to generate up to 2.9 gigawatts of energy - enough to power more than two million homes. 

The declaration follows extensive public consultation, garnering 3,285 submissions.

Minister for Climate Change and Energy Chris Bowen has emphasised the importance of the development for the future of renewable energy in Australia. 

The designated zone is notably smaller than initially proposed, scaled down to avoid impacting the ecologically sensitive Bonney Upwelling and to address concerns from the local community and First Nations groups about potential effects on marine life and cultural landmarks. 

The decision has sparked mixed reactions from local authorities and community groups. Warrnambool City Council Mayor, Ben Blain, has expressed concerns over the zone's location, suggesting a preference for proximity to Portland, where existing infrastructure could potentially offer more direct benefits. Meanwhile, local Indigenous representatives have highlighted the environmental considerations, particularly for the southern right whale nursing grounds near Logan's Beach.

Despite these concerns, Mr Bowen has reiterated the potential for coexistence between marine life and offshore wind projects. 

“If you are concerned about whales, you'll strongly support renewable energy,” he said.

"[Whales] are very sophisticated animals that know how to navigate their way around things.”

Local businesses, especially in Portland, anticipate the wind zone to boost the regional economy, expecting the creation of 1,740 jobs during construction and 870 ongoing operation jobs. 

However, the decision to exclude Portland from the zone has been met with relief by some community members.

The next steps involve the open application period for feasibility licences until 2 July 2024, with the Offshore Infrastructure Registrar overseeing the assessment process. 

Feasibility licence applications are open from 6 March 2024 until 2 July 2024. The Offshore Infrastructure Registrar leads assessment of all applications against criteria set out in the Offshore Electricity Infrastructure Regulations 2022.