Victoria moves on Viva plan
The Victorian Government has cleared a key environmental hurdle for the $250 million Viva Energy gas import terminal at Corio Bay.
The State has moved the project a step closer to construction, facing down long-running opposition.
Planning Minister Sonya Kilkenny on Thursday released her final assessment of the project’s Environmental Effects Statement (EES), concluding that environmental risks could be “managed with strengthened environmental management practices and amended mitigation measures.”
The project must still secure other regulatory approvals before work can begin.
The proposed terminal would import up to 160 petajoules of LNG annually – about 88 per cent of Victoria’s 2024 gas use. It would feature a floating storage and regasification unit, a pier extension at Geelong’s Refinery Pier, and a 7km pipeline to Lara.
The project’s approval comes amid rising concern about future shortfalls in gas supply. The Australian Energy Market Operator has forecast supply gaps from 2029 as production from the Bass Strait declines. The Viva terminal is part of a broader scramble to shore up supply, with competing proposals also under consideration in NSW and Victoria.
Energy Minister Lily D’Ambrosio has reiterated the government’s dual-track approach, saying: “Gas is part of our energy transition, but supply is dwindling and prices are going up.”
“That’s why we’re securing gas supply and helping families and businesses that can go electric slash their energy bills, freeing up gas supply for industries that can’t make the switch,” she added.
The project has faced intense opposition from environmental groups, triggering a second EES process after initial concerns over marine impacts.
Kilkenny’s conditions now include additional safeguards for marine life and the establishment of a community reference group.
Premier Jacinta Allan this week dismissed industry criticism over Victoria’s regulatory environment, calling it a “smear” driven by “fear of competition.”
Viva has flagged a potential start date of 2028, but remains in a competitive race against NSW’s Port Kembla terminal and other Victorian contenders.
The project promises up to 200 construction jobs and 70 ongoing roles, but critics warn exposure to volatile international prices could still push up bills.
