More equitable compensation deal for electricity towers may be in the wind

Farmers are upset about an anomaly that means those who agreed to solar or wind farms receive annual payments but those who have electricity transmission lines on their land only get one-off compensation.

"A fair bit of work has been done on this and we may see some announcements in due course," Mr Dyer said.

"The issue is well recognised, there is a strong will to resolve it.

"The government essentially sets out the rules as to how costs are recovered - but there would be an increase in cost, if you were to change the compensation arrangements."

The commissioner deals with complaints about wind and solar farms.

Land access required for solar - or wind - farms was "not dissimilar" to the construction and maintenance of electricity transmission lines, he said.

"If you develop your wind farm, the first thing the developer talks to the landholder about is about money and how much they [the property owner] will earn in annual payments," he said.

"When you talk about power lines, about the last thing you talk about is how much you will get paid for the use of your land and the easement.

"With a wind or solar farm, the producer may not be getting paid up front, but he will be told what he will be paid."

Mr Dyer said he felt there was a "lot of support" for the fact the farmer hosting the powerline was making a major contribution to the transformation of the electricity system and should be rewarded in some way in an annualised payment.

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Victorian Farmers Federation Livestock Council vice-president Scott Young has a windfarm and powerlines on his Fiskville property.

The sheep and oilseed producer said while wind farms paid a yearly lease fee, there was only a one-off payment for the electricity transmission easement.

"It's an anomaly," Mr Young said.

"Transmission lines are imposed on people - I believe there needs to be a serious rethink about our transmission infrastructure."

Lines should be placed underground and, where possible, along existing easements, he said.

One of the biggest factors was the amount of land and soil structure affected during the construction of the turbines, he said.

"I didn't know about that and wasn't prepared for it," Mr Young said.

"We need some really good policy as to how these projects are constructed, to minimise damage to the farming landscape."

He questioned whether or not the compensation for the wind turbines would be enough, into the future.

"Our project was signed off 15 years ago - 15 years ago it sounded like good compensation but if I take into account the amount of land taken by the turbines, I'm no further ahead," he said.

"I would make the same amount of money whether the turbines were here, or not."

Craiglea Vineyard owner, Pat Carmody, Sunbury, said one major issue was the time taken in dealing with power and water utility staff and their failure to compensate him for it.

The local water authority had been seeking to duplicate an existing sewer line, to Sunbury, through his property for five years

"I think bureaucrats think of farmland as empty land," Mr Carmody said.

Dealing with different engineers and planners had created a great deal of uncertainty.

"It's the irritation of dealing with these bureaucrats, it's the anticipation of the meeting and the aftermath that causes a lot of stress and strain," he said.

"I was in the middle of the vintage and I said to the authorities you've been paid, but I don't get paid - why are not the people you are dealing with being paid?," he said.

"These people dismiss your concerns [by believing] you are not worthy of being paid for your time."

Bulla farmer Alan McKenzie said it was unfair that ongoing payments were made for wind turbines, sometimes of up to $20,000 a year, but landholders through whose properties the power lines ran received a one-off payment.

"I have been putting, through the VFF, the case for a regular payment, each year, for those who have got towers, electricity, water pipes or gas lines on their place.

"The authorities have to have access for maintenance and additional construction."

He said it was wrong that utility companies had free access to a farmer's property, for the rest of the life of the asset.

"Earth to (Premier) Daniel Andrews, we have a problem," Mr McKenzie said.

"How have we let this come about, with the farmer being used and abused?"

He said utility company employees sometimes didn't advise farmers they were coming onto their land.

But every farmer needed to know who was on his or her place and for what reason, particularly during a time of heightened concerns about biosecurity, he said.

"Are they bringing on any contaminated material, such as manure on wheels pr on footwear?," he said.

"Let's start off with what farmers with the wind towers are getting and apply it to the powerlines."

A state government spokesperson said landholders were compensated for easements, created on their land, which hosted transmission infrastructure.

"We're engaging with communities, industry, businesses and landowners on how renewable energy can deliver economic development opportunities for regional Victoria, as well as how landholders affected can continue to share the benefits of this transition," he spokesperson said.

The government had released a Victorian Transmission Investment Framework (VTIF) consultation paper and sought feedback on an investment approach for new energy infrastructure across the state's Renewable Energy Zones (REZs).

The government had not made a decision on the framework but feedback received through the consultation process would inform its decision making.