Wednesday, 4 February 2026


Bills

Energy and Other Legislation Amendment (Resilience Reforms and Other Matters) Bill 2026


Lily D’AMBROSIO, James NEWBURY

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Bills

Energy and Other Legislation Amendment (Resilience Reforms and Other Matters) Bill 2026

Statement of compatibility

 Lily D’AMBROSIO (Mill Park – Minister for Climate Action, Minister for Energy and Resources, Minister for the State Electricity Commission) (10:41): In accordance with the Charter of Human Rights and Responsibilities Act 2006, I table a statement of compatibility in relation to the Energy and Other Legislation Amendment (Resilience Reforms and Other Matters) Bill 2026:

Opening paragraphs

In accordance with section 28 of the Charter of Human Rights and Responsibilities Act 2006 (the Charter), I make this statement of compatibility with respect to the Energy and Other Legislation Amendment (Resilience Reforms and Other Matters) Bill 2026 (the Bill).

In my opinion, the Bill, as introduced to the Legislative Assembly, is compatible with the human rights protected by the Charter. I base my opinion on the reasons outlined in this statement.

Overview

The main purpose of the Bill is to amend the Electricity Safety Act 1998 to require distribution companies to prepare network resilience plans and to provide for the approval and enforcement of those plans, and to amend the provisions of the Electricity Industry Act 2000 and the Gas Industry Act 2001 to provide increased flexibility for the setting of retailer obligations to life support customers.

The Bill also makes amendments to the National Electricity (Victoria) Act 2005 relating to renewable energy zones, to provide greater flexibility for the content of REZ orders and REZ scheme declarations, as well as other clarifying amendments to support the transfer of functions from AEMO to VicGrid. These amendments refine specific existing provisions in the National Electricity (Victoria) Act 2005, they do not engage relevant human rights.

The definition of major transmission infrastructure is amended to clarify the scope for VicGrid to make payments to certain landholders who host transmission infrastructure on their land, from 2025 and after. This arrangement will be by agreement between VicGrid and any person affected, this clarification does not engage relevant human rights.

Section 16Y of the National Electricity (Victoria) Act 2005 is amended by the Bill to provide that Orders made under that section are not to be considered a decision in relation to works for the purposes of section 8C of the Environment Effects Act 1978. This amendment in the Bill is limited to dealing with the procedure for making such a decision, rather than the substantive effects of such a decision and therefore may engage but does not limit property rights.

The Bill also amends the Advancing the Treaty Process with Aboriginal Victorians Act 2018, to allow for changes to the Self-Determination Fund to ensure the fund can have more than one fund – including non-charitable investment vehicles – to ensure that payments to Traditional Owners can be used for non-charitable purposes. In this way the Bill seeks to promote First Nations cultural rights through changes to the Self Determination Fund.

Human Rights Issues

Human rights protected by the Charter that are relevant to the Bill

The following rights are relevant to the Bill:

• Right to life (section 9)

• Right to privacy (section 13)

• Cultural rights (section 19); and

• Right to property (section 20).

I am satisfied that the Bill is compatible with the Charter.

The provisions of the Bill relating to network resilience plans regulate distribution companies, which are corporate entities rather than natural persons. Corporate entities do not attract the human rights specified in the Charter. However, to the extent that those provisions, or other provisions in the Bill impact or may impact natural persons, the impact on their Charter rights is addressed below.

Right to life (section 9)

Section 9 of the Charter provides that every person has the right to life and has the right not to be arbitrarily deprived of life.

Amendments in Parts 2, 3 and 4 of the Bill engage this right.

Part 2 of the Bill will amend the Electricity Safety Act 1998 to introduce a framework to require distribution companies to prepare and comply with network resilience plans. This is likely to improve the resilience of Victoria’s electricity networks and ensure more reliable power supply and reduced outage durations will enhance public health outcomes, especially during extreme weather events. These improvements will reduce the risk of heat and storm-related illnesses and fatalities, and ensure that essential services, like hospitals and aged care facilities, are better able to maintain power during emergencies, ultimately improving community safety and wellbeing.

Parts 3 and 4 of the Bill will amend definitions that support the life support frameworks in the Electricity Industry Act 2000 and the Gas Industry Act 2001 to provide flexibility to update these definitions to ensure the life support obligations can respond to changing policy and regulatory settings.

On this basis, I consider that the right to life is promoted by the Bill.

Right to privacy (section 13)

Section 13(a) of the Charter provides that a person has the right not to have that person’s privacy, family, home or correspondence unlawfully or arbitrarily interfered with.

Certain clauses of the Bill may engage this right, including new section 120ZK to be inserted by clause 7, which requires a distribution company to comply with a written notice issued by Energy Safe Victoria requiring the company to give to Energy Safe Victoria information within its possession or control for the purpose of verifying the performance of the distribution company in complying with its network resilience plan. In addition, new sections 145AA and 145AAB, to be inserted by clause 9, enable Energy Safe Victoria and the AER to disclose information to one another, and to handle that information, where that information is required to perform their functions in relation to network resilience plans. The information handled under these new provisions may include personal information.

However, to the extent that the amendments in the Bill may interfere with the right to privacy, any interference with the right will not be unlawful or arbitrary because it will be done in accordance with the law as set out in the Electricity Safety Act 1998, with the legitimate purpose of supporting the administration and enforcement of the network resilience plan framework.

I am therefore satisfied that the right to privacy under section 13(a) of the Charter is not limited by the Bill.

Cultural rights (section 19)

Section 19(2) of the Charter provides that Aboriginal persons hold cultural rights and must not be denied the right to maintain their distinctive spiritual, material and economic relationship with the land and waters and other resources with which they have a connection under traditional laws and customs. The Charter provides protection for a person to exercise these rights with other members of their community.

Clause 31 amends section 35 of the Advancing the Treaty Process with Aboriginal Victorians Act 2018 (Vic) to clarify that the Self-Determination Fund may constitute a fund or funds as agreed, and as varied from time to time by the parties to the Self-Determination Fund agreement. This will provide the Fund’s flexibility to include different types of funds (not merely charitable) and enable Traditional Owners to apply these funds for broader community benefit, including economic development purposes. To the extent that this amendment engages cultural rights, it promotes the self-determination of Aboriginal persons by providing greater flexibility and autonomy in how funds received through the legislative scheme are disbursed and used.

On this basis, I consider that cultural rights are promoted by this amendment in the Bill.

Right to property (section 20)

Section 20 of the Charter provides that a person must not be deprived of their property other than in accordance with law. This right requires that powers which authorise the deprivation of property are conferred by legislation or the common law, are confined and structured rather than unclear, are accessible to the public, and are formulated precisely.

‘Property’ under the Charter includes all real and personal property interests recognised under the general law, including contractual rights, leases and debts. A ‘deprivation’ of property may occur not just where there is a forced transfer or extinguishment of title, but where there is a substantial restriction on a person’s use or enjoyment of their property. However, the right to property will only be limited where a person is deprived of property ‘other than in accordance with the law’. For a deprivation of property to be ‘in accordance with the law’, the law must be publicly accessible, clear and certain, and must not operate arbitrarily. A broad, discretionary power capable of being exercised arbitrarily or selectively may fail to satisfy these requirements. The concept of ‘arbitrariness’ as it relates to the Charter refers to something which is unjust, capricious, unpredictable, unreasonable or disproportionate.

Clause 8 of the Bill amends the power of entry in section 129 of the Electricity Safety Act 1998 to expand the reasons for which an enforcement officer may enter any land or premises to search for a particular thing that may be evidence of the commission of an offence against this Act or the regulations to apply where there may be a thing that may be evidence of the contravention of a civil penalty provision included in relation to the network resilience framework. An enforcement officer can only enter and search land or premises with the informed consent of the occupier of the land or premises, or with a search warrant.

In my view, section 129 of the Electricity Safety Act 1998 provides an accessible, clear, certain and precise legal framework that authorises the exercise of these powers. Therefore, to the extent that clause 8 may engage the right to property, any deprivation of property will be in accordance with the law and therefore I am satisfied that the right is not limited.

Consideration of reasonable limitations 

I am satisfied that the Bill does not limit any human rights and therefore it is not necessary to consider section 7(2) of the Charter.

Conclusion

I am of the view that the Bill is compatible with the Charter.

Hon Lily D’Ambrosio MP

Minister for Energy and Resources

Second reading

 Lily D’AMBROSIO (Mill Park – Minister for Climate Action, Minister for Energy and Resources, Minister for the State Electricity Commission) (10:41): I move:

That this bill be now read a second time.

I ask that my second-reading speech be incorporated into Hansard.

Incorporated speech as follows:

Resilience Reforms

Victorian communities are increasingly vulnerable to prolonged power outages caused by extreme weather events. Climate change is driving more frequent and severe storms, heatwaves, bushfires, and floods. These events can damage electricity infrastructure and leave households and businesses without power for extended periods. The longer these outages last, the greater the impact on public safety, economic activity and the wellbeing of vulnerable communities.

We have seen this play out very recently in the devastating bushfires that occurred through much of the State in early January, as well as several extreme weather events, including storms in June and October 2021 , and February 2024, that have served to reinforce how important it is that we take action to build resilience in energy networks and in our communities.

The 13 February 2024 storm damaged 12,000 km of powerlines and poles across the state’s electricity distribution network, causing power outages that impacted more than 529,000 homes and businesses at its peak.

The devastating storms of 9 June and 29 October 2021 left more than 230,000 Victorians without power. In our cities, outages lasted an average of 49 hours. In rural areas, some communities endured 84 days without electricity. These events exposed significant vulnerabilities in Victoria’s electricity distribution networks and highlighted the urgent need for stronger resilience measures.

In response to the 2021 storms events, I established the Electricity Distribution Network Resilience Review Expert Panel in January 2022. The Panel found that while distribution businesses have taken some steps to strengthen their networks, further action is required to reduce the likelihood and consequences of prolonged outages. Communities made it clear that they expect more to be done to ensure networks are built and maintained to withstand the challenges of a changing climate.

This Bill delivers on that expectation. It creates a clear, legally enforceable obligation for distribution businesses to prepare and implement network resilience plans. These plans, which must be accepted by Energy Safe Victoria, will outline the measures businesses will take to prepare for and respond to severe weather events. Examples include strengthening poles to withstand high winds, relocating assets from flood-prone areas, and deploying mobile generators to support affected communities.

The Bill also ensures that these obligations are enforceable. Stronger oversight and greater transparency will improve accountability and provide the Victorian community with confidence that resilience investments are being made and implemented effectively.

Civil penalties will apply where a business fails to comply with their obligations and Distribution businesses will be required to take all reasonable steps to implement the projects in their plans. This ensures that resilience measures are not only planned, but delivered.

For households, businesses and emergency services, this will mean a more reliable supply of electricity, better equipped to withstand the pressures of more frequent and extreme weather events. For government and taxpayers, it will reduce reliance on costly disaster recovery measures.

This Bill also modernises the life support provisions in the Electricity Industry Act 2000 and Gas Industry Act 2001. This delivers another recommendation from the Electricity Distribution Network Resilience Review, supporting priority restoration of power following prolonged power outages. By linking life support definitions to those provided in an Order in Council, the framework can remain flexible and responsive ensuring it continues to meet the needs of Victorians who rely on life support equipment in their homes.

The reforms in this Bill represent a significant step forward in strengthening the resilience of Victoria’s electricity networks. They will ensure that distribution businesses are better prepared for extreme weather events and that Victorian communities are better protected from the risks and impacts of prolonged outages.

With this Bill, Victoria is leading the nation in embedding resilience planning into the regulation of electricity distribution networks. This Government is committed to building a safer, fairer and more resilient energy system and is taking the action needed to protect Victorians, particularly our most vulnerable, from the challenges that climate change brings.

Victorian Energy Upgrades program reforms

The Bill also makes amendments to repeal Part 4 of the Victorian Energy Efficiency Target Amendment (Energy Upgrades for the Future) Act 2025. While Part 4 was originally intended to strengthen existing offence provisions and key definitions in the Victorian Energy Efficiency Target Act 2007, subsequent policy analysis has shown that these changes would unintentionally exclude a key business model responsible for delivering a substantial share of Victorian Energy Upgrades program activities.

Repealing Part 4 before its automatic commencement on 18 March 2026 will protect the stability and effectiveness of the Victorian Energy Upgrades program. By retaining the current offences relating to prescribed activities and the definitions of scheme participant and regulated action, this will ensure that key business models can continue to operate and participate in the Victorian Energy Upgrades program. Therefore, Victorians can continue accessing energy efficient upgrades without disruption, and the program can further contribute to our state’s energy efficiency and emissions reduction goals.

VicGrid Reforms

Coal-fired power stations are closing and are becoming less reliable. Victoria is leading the nation as we transition to renewable energy and deliver reliable energy to Victorian consumers. Supporting this is VicGrid’s new approach to planning renewable energy zones and transmission infrastructure, putting community at the core in the delivery of the Victorian Transmission Investment Framework. The Bill clarifies several of the Government’s VicGrid reforms enacted in 2024 and 2025.

The Bill clarifies the application of landholder benefit payments under Part 7 of the National Electricity (Victoria) Act 2005 to new major transmission projects created in or after 2025, to ensure eligible landholders are recognised for their important contribution to the energy transition.

VicGrid is overseeing the introduction of a new transmission access regime to coordinate new energy projects, provide certainty for investors and developers, and ensure meaningful engagement with communities, Traditional Owners and landholders.

To support the effective implementation of renewable energy zones and the new access regime in Victoria, the Bill introduces some flexibility to the making of Renewable Energy Zone Orders and assessment of Renewable Energy Zone Scheme authorities. First, the Bill will allow for renewable energy zones to be declared where there is existing sufficient transmission infrastructure or where there is not yet a proposed transmission project in the planning horizon. Second, the Bill will enable VicGrid to adopt the most appropriate method for assessing and issuing REZ scheme authorities, based on the characteristics of the renewable energy zone, the nature of projects seeking to connect and market interest.

The Bill introduces a new head of power for the Governor in Council to make regulations to replace the substantial constraint test in the National Electricity (Victoria) Act 2005 with an alternative assessment process that builds on previous reforms that require developers to meet government expectations for community engagement and deliver social value and economic benefits. This will enable a limited class of transitional projects at the advanced development stage (including Capacity Investment Scheme projects) to progress, helping to secure Victoria’s renewable energy generation needs.

The Bill makes minor technical amendments to ensure VicGrid is notified when control of a declared Transmission System Operator changes so that it can undertake its transmission planning functions.

The Bill also provides that a Ministerial Order under section 16Y of the National Electricity (Victoria) Act 2005 should not be taken to be a decision in relation to works for the purposes of section 8C of the Environment Effects Act 1978. This ensures all environmental and statutory planning controls are addressed before major construction begins.

I commend the Bill to the house.

 James NEWBURY (Brighton) (10:42): I move:

That the debate be adjourned.

Motion agreed to and debate adjourned.

Ordered that debate be adjourned for two weeks. Debate adjourned until Wednesday 18 February.