Insights

Aussie rules for offshore wind: Five must-know insights for developers

The illusion of knowledge is a trap for offshore wind developers entering the Australian market. It’s easy to assume that, because local legislation and standards largely follow the United Kingdom (U.K.) and European Union (EU), experience in these markets translates seamlessly to the regulatory, environmental and cultural landscape down under. But this assumption can lead to underestimating the unique risks involved in Australian offshore wind projects. 

In reality, Australia presents a potentially frustrating mix of challenges: a vast grid that isn’t always ready for large-scale offshore wind integration; complex and misaligned federal and state approval pathways; high regulatory expectations but limited baseline data; and unpredictable community engagement dynamics. Developers who rely on what has worked elsewhere risk major delays and cost overruns.

As the approvals consultant for the nation’s most progressed offshore wind farm, Star of the South, we have been at the forefront of the local offshore wind industry since 2019. But our experience goes well beyond offshore. For more than a decade, we’ve delivered planning, design and engineering services across transmission and distribution networks for Australia’s major utility operators. From grid connection negotiations and network modelling to corridor planning and substation design, our integrated capability — and deep understanding of local standards and key stakeholder — means we can look at the bigger picture across the full development lifecycle. 

This is further strengthened by team members with offshore wind experience from around the world, giving us a clear view of what ‘normal’ looks like for international developers, and where the Australian market differs. Based on this combined experience, here are five critical insights every offshore wind developer should know before entering the Australian market.

 

De-risking offshore wind projects in Australia

1. Disjointed connection frameworks increase integration risk 

Australia’s grid connection process is more complex than many international developers expect. Australia’s National Electricity Rules (NER) and network planning requirements present real challenges; no clear framework for shared infrastructure, limited coordination across offshore projects and no dedicated provision for transmission corridors. 

Through our involvement in more than 25 projects over the past five years, we’ve seen how early awareness of evolving grid regulations is critical. In one case, we resolved a mid-project clash between reactive power requirements and inverter capabilities through early technical engagement and negotiation. 

Offshore components like turbines and inverters can also face approval hurdles if they’re not already recognised under Australian standards. We’ve supported clients through this process, helping to navigate model approval and working with industry groups to ease the path for new technology.  

 

2. Australia’s grid network is fundamentally different  

Australia’s grid is isolated, low-density, long, stringy and unmeshed. It’s difficult and time-consuming to connect. With a small population and state-based grids (for example, Western Australia’s standalone system), load sizes are smaller. In Victoria, the single biggest allowable loss of a generation connection is 600 megawatts. This often necessitates stability systems and batteries to secure a connection agreement and protect grid integrity. 

 

3. The tyranny of distance is real 

Australia’s remoteness poses major logistical challenges. Long shipping distances, limited local manufacturing and exposure to global supply chain disruptions all increase costs and lead times. Offshore components often require modifications, such as complete rewiring, to meet local standards. These are crucial considerations during development and contracting. 

 

4. Offshore wind regulation is complex and fragmented   

Australia may look familiar to international developers. Its transition policies often echo those of the U.K. and Europe, and regulators are generally open to adopting global best practice where local guidelines are still evolving. 

But beneath the surface, things get complicated. Each state has its own environmental and planning approval pathways, often overlapping with Commonwealth requirements. For example, projects beyond three nautical miles fall under federal jurisdiction alone, but those closer to shore must meet both state and federal approvals. The same applies to species protection, with threatened or migratory species potentially governed at one or both levels. 

Compounding the challenge is a lack of detailed ecological baseline data, particularly compared to Europe. This makes local expertise essential. We work with trusted partners, like JASCO Applied Sciences for underwater noise, BMT for marine ecology and Nature Advisory for bird impact assessments, as we’ve done for Ørsted’s Gippsland 1 Offshore Wind Farm. 

New entrants should be prepared for a regulatory environment that’s still maturing. Interpreting requirements, not just following them, is often necessary, and online guidance quickly becomes outdated. Strong local relationships with regulators can make all the difference. Our long-standing engagement with key agencies ensures we stay ahead of change and help our clients do the same. 

 

5. Poor community engagement threatens social license to operate   

In Australia, renewable infrastructure can be polarising, especially offshore wind, which interacts directly with our treasured coastline. With 85 percent of the population living within 50 kilometers (31 miles) of the coast, many communities are deeply connected to recreational activities like surfing, fishing and camping, and wary of anything that might disrupt that way of life. 

Projects that fail to engage early and meaningfully with local communities risk being derailed by public opposition. But reactions vary widely. The Gippsland community, for instance, continues to show strong support for offshore wind, thanks to the groundwork laid by Star of the South. Community support for this came from listening to what mattered most, for Gippsland it was recreational fishing, and taking steps to minimise impacts, such as protecting nearshore fish populations and limiting exclusion zones during construction. 

Engagement goes beyond consultation. Communities respond positively when they see real local benefits: job opportunities, supply chain involvement and housing solutions that prevent rent hikes. In the EU or U.K., housing construction workers that are flown in to work on an offshore wind project might be a challenge, but here in Australia, amid a rental crisis in low-population regions, it could become a deal-breaker. Some developers are addressing this by recruiting local workers and facilitating accommodation that can later be converted for other uses, meeting short-term needs and leaving a positive legacy. 

 

A safe pair of hands in offshore wind 

Success in Australia depends on local knowledge, relationships and credibility, across both engineering and environmental disciplines. We bring deep local experience, global offshore wind capability and trusted partnerships with local experts and stakeholders. 

We help developers interpret complex regulations, navigate approval processes and build meaningful community engagement strategies. With our finger on the pulse of regulatory change, we know how to de-risk offshore wind development in Australia, from concept to construction, by playing by Aussie rules.