Victoria has exceeded its renewable energy target for 2025, with clean sources accounting for 44.6 percent of the state’s electricity generation, surpassing the 40 percent goal. Solar power alone contributed 16 percent toward the target, reflecting its growing importance in the state’s energy mix, pv magazine reported.
Electricity from solar was generated by 54 large solar farms along with extensive rooftop installations. By the end of 2025, the Clean Energy Finance Corporation reported that more than 848,000 small-scale solar systems under 100 kilowatts were operating across the state.
Victoria currently has nearly 100 large renewable energy projects in operation, while five more are under construction, indicating further expansion in the coming years. Wind energy remained the largest contributor among renewable sources, generating about 24 percent of the state’s electricity.
The state is now working toward its 2030 target of generating 65 percent of its electricity from renewable sources. The goal, passed into law in March 2024, also includes plans for 2.6 gigawatts of energy storage capacity and 2 gigawatts of offshore wind power. Victoria has also outlined a longer-term ambition of achieving 95 percent renewable electricity before reaching net-zero emissions by 2045.
To speed up progress, the Victorian Government’s Development Facilitation Program is prioritising key renewable projects and has unlocked nearly $9 billion (USD 6.4 billion) in investment across 25 developments.
According to the government, once completed, these projects will produce enough electricity to supply more than 700,000 households annually. Battery storage linked to the projects is expected to help meet evening peak demand for up to 2 million homes.
Meanwhile, the Australian Energy Market Operator’s Quarterly Energy Dynamics report for the fourth quarter of 2025 showed that distributed solar output in Victoria rose by 14 megawatts to an average of 956 megawatts, setting a new record for the state.
The report also noted steady growth in consumer solar resources across the National Electricity Market since 2020, with Victoria’s installed capacity increasing from 2.6 gigawatts to 5.6 gigawatts.
During the same quarter, Victoria achieved another milestone by recording a peak half-hour renewable generation share of 82.5 percent in the period ending at 2 pm on October 16, 2025 — 4.5 percentage points higher than the previous record set on December 2, 2024.
