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Energy Extraction and Generation Industry in Victoria, Australia


Victoria is a major contributor to the Australian energy extraction and generation industry, which involves extracting the raw materials for energy production, and turning them into useable energy such as electricity, gas or other exportable energy based commodities.


All of the brown coal extracted in Australia comes from Victoria, and almost all of it is used for domestic power generation at present. Victoria is also Australia’s second largest producer of gas and oil, which includes crude oil, natural gas and liquefied petroleum gas. The state accounts for around 18 percent of Australia’s production. Although oil production is declining, natural gas production is growing strongly.


Around one quarter of Australia’s electricity is generated in Victoria, with much of Victoria's energy generation occurring in the Latrobe Valley, east of Melbourne. Brown coal is the state’s major source of electricity generation, although significant progress is being made in the area of sustainable energy generation through wind farms, solar generation and tidal systems.

Industry size

In 2009/10, brown coal production, predominantly from the Latrobe Valley for electricity generation, reached 68.7 million tonnes. The number of people employed in Victoria in the oil and gas extraction industry was estimated to be around 1500.

Each year gas produced offshore in Victoria is worth about A$1.5 billion, and crude oil production is valued at over A$2 billion. 

Industry contacts

Professional bodies and industry associations are a good source of information about the energy industry in Victoria.

The following bodies represent various sectors within the industry:

Further information

Information sources:
Department of Primary Industries (2010) 2009/2010 Statistical Review: Victoria’s Minerals, Petroleum & Extractive Industries.
Department of Primary Industries (2009) At A Glance 2009, Victorian Minerals and Petroleum and Energy Industries.