- Australia’s Federal Court ordered a review of the rejected Seadragon wind farm licence, ruling that Energy Minister Chris Bowen misunderstood the Offshore Electricity Infrastructure Act.
- The Seadragon wind farm planned off Victoria’s Gippsland coast, could play a key role in Australia’s net-zero emissions goal. Construction is set for 2028.
One of Australia’s pioneering offshore wind projects, the Seadragon wind farm, has received a significant boost after a court ruled in its favour, ordering a review of its rejected application for a critical licence. The Federal Court found that Energy Minister Chris Bowen was wrong to dismiss Flotation Energy’s proposal to build the Seadragon wind farm off the Victorian coast and ruled that the minister must pay the project’s legal fees.
The court’s decision comes after the minister initially rejected Seadragon’s bid due to overlapping areas with another offshore wind project. The minister argued that the feasibility licence could only be granted for the proposed location, including the overlapping parts. Seadragon, however, had requested a more minor, non-overlapping area for the licence, which the minister had turned down.
Federal Court Justice Nye Perram disagreed with the minister’s interpretation of the Offshore Electricity Infrastructure Act, which governs offshore wind projects. Justice Perram clarified that the act allows for licencing for “any area” that meets the requirements and that a reduced area could still qualify as a valid “area” for a feasibility licence. The judge ordered Bowen to reconsider the proposal, applying the correct interpretation of the law.
The Seadragon project, located off the Gippsland coast in Bass Strait, is planned to include up to 150 wind turbines and a network of subsea cables between 20 to 40 km off the coast near Ninety Mile Beach. The project aims to contribute to Australia’s net-zero emissions target by 2050 and was initially scheduled to begin construction in 2028, with an expected operational date of 2030.
A minister’s spokeswoman stated that the office would review the judgment before taking further action on the application. She emphasised the importance of establishing a robust regulatory framework for Australia’s offshore wind industry, a critical component of the country’s energy transition.
This court decision could have broader implications for how feasibility licences are awarded for offshore wind projects, mainly when proposals involve overlapping areas. The outcome may also serve as a precedent for future projects in Australia’s emerging offshore wind sector, which is critical in its plans to decarbonise its energy market.