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Energy costs cut for Victorian farmers and producers

More Victorian farmers will be helped to be more energy efficient and to put money back in their pocket thanks to the extension of the Andrews Labor Government’s popular Agriculture Energy Investment Plan (AEIP).

“We’re backing a stronger, more innovative and sustainable agriculture industry with a new ten-year strategy to drive Victoria’s recovery and bolster the economy,” said Minister for Agriculture Mary-Anne Thomas.

“We know key initiatives like the Agriculture Energy Investment Plan help address one of the most significant costs for farmers and producers – putting more money back in their pocket to use elsewhere in the business.”

Delivered as part of the Labor Government’s $115 million investment in the new ten-year strategy for agriculture in Victoria, the AEIP helps businesses to reduce energy costs, be more energy efficient and more productive.

Minister for Agriculture Mary-Anne Thomas today visited John and Millicent Dunn’s mixed crop and livestock farm at North Blackwood to encourage farmers to apply for the grants of up to $250,000 to install infrastructure and technology that will make their farms more competitive and sustainable.


Through the last round of the AEIP, the Dunns received a Tier 1 grant to upgrade their irrigation system. The improvements are expected to deliver annual energy savings of approximately 20 per cent to their business.

Free on-farm energy assessments will again be delivered as part of the AEIP, helping producers identify how they can make their operations more energy efficient and productive, including by use of on-farm energy generation.

Farmers can then apply for up to $20,000 through the Fast Track Rebate to purchase items that have been recommended through an on-farm energy assessment; or larger Tier 1 and Tier 2 grants (worth between $20,000 – $50,000 and $50,000 – $250,000) for larger projects.

To date, almost 800 on-farm energy assessments have been completed under the AEIP, valued at almost $7 million and over 450 grants totalling $22 million have been awarded.

Through the Agriculture Strategy released in 2020, the Government is working to protect and strengthen the future of agriculture by building a more resilient, energy efficient and internationally competitive sector that is well-placed to respond to climate change.


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