Environmentalists and community members have argued Viva’s project is too close to residential areas and fear it will entrench the state’s use of fossil fuels.
Victoria has been more actively discussing the need for gas import terminals over the past year amid warnings of shortfalls in the state as early as winter 2028.
The proposals have attracted some criticism because Australia has significant gas reserves and there are concerns that it would expose consumers to international price fluctuations.
The Viva Energy refinery in Geelong.
Other parts of the gas industry have instead pushed for better infrastructure to connect states and provide Victoria with local supplies.
But the terminals would provide a faster solution.
Earlier this year, Ports Victoria complained that Viva had not yet provided enough information about how the project would affect shipping in the region.
Energy Minister Lily D’Ambrosio said gas was part of the energy transition but prices were going up as supply dwindled.
“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 said.
Victorian Greens member for Western Victoria and co-Deputy Leader, Dr Sarah Mansfield, said the announcement was devastating.
“Victorian Labor have turned their backs on our bay environment, on the health and safety of communities in Geelong, and on our climate,” she said.
“They have failed to listen to thousands of community members, environment groups, and experts, instead selling out to the fossil fuel lobby. It’s unforgivable.”
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