Neighbours might be paid for high voltage lines after all

It has been one of many heated topics raised as power companies fine tune their route plans for criss-crossing of high voltage power lines across the state.

Up until now it has been a no-go subject in Victoria.

Both Transmission Company Victoria (created by the Australian Energy Market Operator), which is charge of VNI West's 400km project, and power company AusNet which is directing the 190km Western Renewables route, have previously rejected neighbour deals.

But the Victorian government's creation of VicGrid, an overarching body designed to plan for the state's energy infrastructure needs might change all that.

"VicGrid recognises that neighbouring landholders can be impacted by energy infrastructure, even when not directly hosting easements," a government spokeswoman said.

Energy and Resources Minister Lily D'Ambrosio last week introduced legislation as the next step to establish VicGrid.

VicGrid is a division in the state's Energy, Environment and Climate Action Department.

She said the legislation would ensure VicGrid "has the powers to modernise the way new energy infrastructure is planned and developed in Victoria while giving communities a voice in the process".

"This major change to the way energy infrastructure is planned in Victoria and will see VicGrid undertake planning and consultation on renewable energy zones, ensuring that community views are taken into account at the start of the planning process," Ms D'Ambrosio said.

"Under the legislation, VicGrid will implement the new Victorian Transmission Infrastructure Framework - which includes meaningful community engagement and benefit sharing arrangement for farmers, communities and Traditional Owners that host new transmission lines."

VicGrid aims to have its statewide transmission plan in place from mid-2025.

As it consults to prepare the plan, VicGrid aims to "develop guidance for transmission companies" on neighbour agreements.

The subject has been repeatedly raised by objectors over the past few years who point to the proposed 80 metre high towers (as big as the MCG light towers) as being a blot on the rural landscape and visible from long distances.

Their calls for the lines to be buried underground have been continually rejected as too expensive.

The actual landholders where the easements will go are already in line for compensation of more than $200,000 over 25 years plus the payment for the land itself.

Queensland was the first state to offer compensation to landowners within a kilometre of new powerline projects.

Powerlink said: "Adjacent landholders within a 1km radius of a new transmission line will receive a payment which is calculated on the amount of land located within this 1km zone."

In NSW, power line builders are urged to "address" the impacts on neighbours "through detailed design and additional mitigation measures (e.g. vegetation screening) but authorities say "negotiated agreements with these landowners can be considered by the transmission network operator on a case by case basis".

Late last year, the Australian Energy Infrastructure Commissioner Andrew Dyer provided a review of community engagement on power projects to the Federal government.

Mr Dyer said potentially affected neighbours to renewable power projects may include residents and landowners in a proximity range of 0km to 5km from potential projects and he suggested they should be considered for compensation.

The Victorian government last week moved to give VicGrid beefed up powers to consult with landholders and local communities as the new energy infrastructure is rolled out.

"VicGrid recognises that neighbouring landholders can be impacted by energy infrastructure, even when not directly hosting easements ..." a government spokeswoman said.

"It is also recognised that some neighbouring properties to transmission line developments may still be affected even after mitigation actions associated with project siting and screening are undertaken. VicGrid is further developing guidance to address this issue."

VicGrid aims to "plan and consult" to identify renewable energy zones "ensuring that community views are taken into account at the start of the planning process".

"VicGrid is developing guidance to set clear expectations for managing impacts on neighbouring landholders that are 'significantly impacted' by nearby transmission projects, which the project will comply with."