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The Victorian Government has instructed the Port of Hastings Corporation to develop a Victorian Renewable Energy Terminal (VRET) in the Port of Hastings between the existing wharfs owned by Bluescope Steel and Esso. (Image above, credit Port of Hastings Corporation).

The purpose of the VRET is to import and assemble components to construct and service windfarms being planned in Bass Strait.

It is crucial that renewable energy projects only proceed if environmental risks can be managed. A link to our position statement on windfarms follows.

The Dolphin Research Institute is a member of the Community Reference Group for the VRET proposal. We also submit data on the movement of dolphins and whales in the region to the environmental investigations.

The Institute’s submission to the Commonwealth Government in response to the Port of Hastings Corporation’s referral under the Environment Protection and Biodiversity Conservation Act follows.

Response to Referral #2025/10224 2025 Victorian Renewable Energy Terminal

15 July 2025

 Introduction

The Dolphin Research Institute (DRI) is based in the Western Port Marina in Hastings, where we have had our office and environmental education centre for 24 of our 34 years of work. Our interest in the Victorian Renewable Energy Terminal (VRET) relates to the potential impacts to the overall environmental sustainability of Western Port and to marine mammals in our region. Our data on dolphins and whales have been contributed to the Port of Hastings Investigations.

Western Port is an internationally significant environment with marine and coastal values that underpin its status as a Ramsar Wetland, a UNESCO Biosphere and home to three Marine National Parks.

DRI strongly supports the government’s policy to shift to a renewable economy and away from the use of fossil fuels for power generation.

Plans by both federal and state governments to develop offshore windfarms in Bass Strait offer a huge opportunity for our region to move towards sustainable energy production. These plans rest on the development of a shipping hub for the import, storage and assembly of windfarm components before they are offloaded to jack-up barges for offshore installation.

The VRET proposed by the Port of Hastings Corporation (PoHC) is strategically important for the development and maintenance of proposed Bass Strait wind farms. However, it is important to view this referral by the PoHC as a separate matter to the offshore windfarms, so this discussion will be limited to the referral for VRET project for the Port of Hastings.

Context

The 2025 referral to the Commonwealth regarding the VRET is in a context where both Victorian and Commonwealth governments have made previous decisions:

  • In October 2023 Victorian Minister for Planning determined that an Environmental Effects Statement (EES) is required and invited comments on draft terms of reference. However, this remains an unfinished process.
  • In February 2024, the then federal Environment Minister, determined that the PoHC’s 2023 Referral to the Commonwealth was a ‘Controlled Action’ and also that it would have ‘clearly unacceptable’ impacts. The Minister rejected the referral without enabling the matters raised in the Minister’s Statement of Reasons to be tested through a rigorous Environmental Impact Statement (EIS), or EES in Victoria.

The 2025 Referral to the Commonwealth to develop the Victorian Renewable Energy Terminal (VRET) in the Port of Hastings

  • DRI notes that the PoHC has responded to the previous federal Environment Minister’s statement regarding the February 2024 decision, undertaking substantial marine and terrestrial environmental and engineering investigations, alongside wide community and indigenous engagement.
  • The 2025 Referral benefits from the above-mentioned investigations and community input through a deeper understanding of the issues and refinements to the design of the project.
  • The design changes have significantly reduced the footprint, risk from sediment plumes, use of spoil as land fill for example, to manage and minimise environment impacts.
  • The 18 attachments to Referral present a huge volume of new knowledge that help to clarify the potential risk to key values relevant to the EPBC Act.
  • However, this new knowledge does not replace a formal environmental impact assessment. There are clear gaps such as the limited timeframe for acoustic studies that need to be extended, to give one example in DRI’s area of interest.
  • This work has certainly provided a rich knowledge base to inform a revision of the Terms of Reference for the EES required by the Victorian government.

The Question of the Project Being a ‘Controlled Action”

A controlled action is one that the minister decides has, will have, or is likely to have, a significant impact on a protected matter.

The PoHC Referral, Section 4.1, lists potential impacts relevant to the following sections of the EPBC Act:  S16 Ramsar Wetland, S18 Threatened Species and Ecological Communities, and S20 Migratory Species.

The PoHC Referral, Section 4.1.4.8, states that:

  • Marine Ecology: seven EPBC Act listed species were potentially present in the region of the Project Area, but significant impact on these species is unlikely.
  • Waterbirds: Three EPBC listed species were assessed to trigger the significant impact criteria. However, the small extent of habitat in the Project Area, relative to the whole Ramsar site, suggests that it is unlikely that the impacts to these species will be significant.
  • Migratory Species: Later sections note that migratory species may be impacted by the project but not at a significant level.
  • Threatened Flora and Fauna: Direct impact to the small Swamp Skink population and habitat in the southeast sector of the Project Area is unavoidable and clearly, a significant impact.

The above points clearly show that there is potential for “significant impact on a protected matter” and DRI urges the Minister to declare the project a ‘Controlled Action’.      

The response to the declaration of a ‘Controlled Action’.

DRI urges the Environment Minister to use a ‘whole system’ lens to view the VRET proposal, considering:

  • The VRET’s importance to the system of offshore wind.
  • The relative scale in the Western Port and Ramsar system.
  • The potential for the VRET to leverage net benefits for the Western Port environment, which DRI will expand on in the future.

DRI considers that the new knowledge presented in the PoHC’s 2025 Referral is substantial and suggests that many of the potential risk factors are minimal or manageable with appropriate measures.

With the above said, the referral as a whole does not equate with an Environmental Impact Statement (EIS). There are clear data gaps that need further investigation and more detailed risk and environmental management plans. Completed studies also need independent peer reviews.

There is a strong precedent with another project in the Westernport Ramsar Site, the AGL Liquid Natural Gas Terminal, where the project was declared a controlled action and the Commonwealth Environment Minister required an Environmental Impact Statement (EIS) to be undertaken to inform the final decision.

In the AGL example, the project was assessed under a bilateral agreement with the Commonwealth and Victoria, so that the Victorian EES process was used to inform the Commonwealth’s decision.

DRI urges the Minister to require an EIS to be undertaken, requiring the exploration of all questions and concerns captured through the referral and other processes, including community consultation. The EIS should be transparent and include independent reviews of all investigations and environmental management plans.

Further, it would make sense, as with the AGL precedent, to come to an agreement with the state government to undertake a single, thorough process that satisfies the needs of the EPBC Act, the State Environment and Planning Laws, the community and most importantly, the environment.

In conclusion

The Dolphin Research Institute recognises the VRET in the Port of Hastings as a strategically important asset for the development of offshore wind energy as part of the government’s strategy to move away from fossil fuels.

DRI believes that there is sufficient cause to declare the project a ‘controlled action’ under the EPBC Act and urges the Environment Minister to do so.

PoHC’s 2025 referral presents the results of numerous environmental and engineering studies. This new referral shows amended designs that reduce the environmental footprint and suggest that many of the risks to the environmental values relevant to the EPBC Act can be managed.

The 2025 referral, however, does not take the place of an EIS, with studies over a longer timeframe that address all the previous concerns, in addition to new questions that will flow from this referral and other engagement processes.

DRI believes that VRET project should proceed to an EIS process where all questions can be fully tested and appropriate Environmental Management Plans are in place to manage risk.  Reports and plans should be peer-reviewed and publicly accessible.

Ultimately, the VRET must only proceed if we can be sure that risks to the Western Port and Ramsar values are not significant and can be managed.

Jeff Weir OAM, BSc; MSc; DipEd; MFIA, Executive Director, Dolphin Research Institute

director@dolphinresearch.org.au |  0419356388

 

Disclosure Statement:  Jeff Weir is a member of the VRET Community Reference Group.