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Electricity Procurement

The Victorian Greenhouse Alliances initiated a renewable electricity purchasing project for Victorian councils.

The Victorian Energy Collaboration (VECO) is the largest ever emissions reduction project undertaken by local government in Australia.

The landmark Power Purchase Agreement (PPA) will enable 46 Victorian councils to switch to 100% renewable energy from mid 2021. The ‘buyers group’ aggregates nearly half of the entire sector’s electricity load – equivalent to powering 48,000 homes with renewable energy or taking 90,000 cars off the road each year.

The project will secure renewable energy to power municipal offices, leisure centres, streetlights and community buildings. Councils participating in this project recognise the benefits of renewable energy for local economies and job creation, environmental purposes, and reducing costs.
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The project was initiated and facilitated by the Victorian Greenhouse Alliances and led by Darebin City Council. Four NAGA councils are part of the Buyers Group, whilst three of our councils are part of a previous renewable energy buying group - the Melbourne Renewable Energy Project (MREP).

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A discussion paper provides a summary of opportunities for Victorian councils to collectively procure best value electricity whilst meeting multiple policy commitments and objectives, particularly with respect to emissions reduction.

Click on the image on the left to download the paper. ​

This paper informed the development of the Electricity Working Group. The feasibility studies on large scale solar and local energy trading will also inform the work of the group.

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