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Wind and solar farms get massive rates discount

Wind and solar farms are paying just 20 per cent of what they should in municipal rates — and farmers are picking up the shortfall.

Glenbrae farmer and Municipal Association of Victoria president David Clark, says wind and solar developers “pay about 20 per cent of what we pay as farmers”.
Glenbrae farmer and Municipal Association of Victoria president David Clark, says wind and solar developers “pay about 20 per cent of what we pay as farmers”.

The Allan Government is giving multinational wind and solar developers massive municipal rate discounts, leaving rural and regional communities to pick up the shortfall, the Municipal Association of Victoria says.

“They pay about 20 per cent of what we pay as farmers,” MAV president and Glenbrae farmer David Clark said. “We’ve long argued they should be paying the same.”

While most Victorians pay council rates based on the capital improved value of their properties, corporate solar and wind generators operate under a ayments in lieu of rates (PiLoR) scheme.

In 2018 Energy Minister Lily D’Ambrosio set the PiLoR at a fixed charge of $54,400 on wind and solar developments larger than 25 megawatts, with an added variable charge of $1225/MW of capacity.

But while farm rates have soared over recent years, Ms D’Ambrosio and her department have only raised the PiLoR megawatt charge to $1480 in 2024-25, equal to 20 per cent over five years.

Victorian Energy Minister Lily D'Ambrosio is granting wind and solar developers massive municipal rate discounts.

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Original URL: https://www.weeklytimesnow.com.au/news/wind-and-solar-farms-get-massive-rates-discount/news-story/5d3964ba6162c467aa3f6efd0f085cfb