February 4th, 2026Holding privatised electricity distribution companies to account

The state government is holding privatised electricity distribution companies to account, helping to protect local communities from power outages due to extreme weather events. 

Minister for Energy and Resources Lily D’Ambrosio has introduced nation leading legislation to Parliament to require electricity distribution businesses develop and publish five-yearly resilience plans, with penalties for non-compliance.

Victoria’s electricity distribution network was privatised by the government in the 1990s and is now owned and operated by private companies with network expenditure approved on a five-yearly basis by the Australian Energy Regulator (AER).

Victoria was the first state to force distribution businesses to start planning for resilience last year by changing national rules to make sure the AER considers network resilience when assessing five-yearly network plans. This change complements the new Victorian requirement to publish separate network resilience plans.

If passed, the new legislation will obligate network companies to submit Network Resilience Plans to Victoria’s independent regulator, Energy Safe Victoria.

Energy Safe Victoria will ensure that companies implement their plans and invest in solutions that will help to keep the power on for Victorians – non-compliance could result a $1.2 million penalty.

These reforms are critical to delivering reliable power supply to Victorians, especially those susceptible to extreme weather, and vulnerable people such as the elderly and life-support customers.

Examples of investments that could form part of resilience plans include batteries, stand-alone power systems, and additional feeder lines to remote communities.

The new laws are the latest in a series of actions following the Victorian Government’s 2022 independent Electricity Distribution Network Resilience Review. For more information, visit energy.vic.gov.au/about-energy/safety/power-outages.