A breakthrough for establishing offshore wind farms in Australian waters seems underway now that the country's government introduced legislation Thursday which could prove decisive for manifesting the nation's huge renewable energy potential at sea.

This is welcome news for wind industry players such as Vestas, Ørsted and Copenhagen Infrastructure Partners, which is already directly involved in a major offshore wind development Australian called Star of the South of 2.2GW.

The proposal has been introduced in a legislated package dubbed Offshore Electricity Infrastructure Bill, and Star of the South will now assess the bill in detail to evaluate its significance for the gigantic project.

Already now, Star of the South acclaims the development as a "historic moment" for Australian offshore wind, and the project's chief executive, Casper Frost Thorhauge, says in a media release that the "legislation is a key step to realizing Australia’s offshore wind potential and unlocking the associated economic benefits, including providing opportunities for the nation’s strong resources and maritime sectors."

The wind farm is being developed by CIP via its Copenhagen Infrastructure III fund in partnership with domestic company Offshore Energy. CIP Partner Michael Hannibal says he's very satisfied with the bill.

Look forward to ratification

"We are pleased to see the regulatory framework to build and operate offshore wind farms in Australia take an important next step. We look forward to the legislation being passed and thank the Australian Government for its support to develop a new offshore wind market," Hannibal says in the statement.

Star of the South will be located offshore of Gippsland, Victoria, southeast of Melbourne. The project is currently in the process of gathering environmental impact assessments to support further planning ahead of project approval.

If the project gets a green light and the final investment decision is made to move forward with construction, installation could begin around 2025, with projected commissioning toward the end of the decade.

Last year, Vestas purchased a quarter equity position in CIP.

CIP stake purchase underscores Vestas' new development

Vestas picks up 396MW order from Australia  

Ørsted profile now at the head of CIP project 

Vestas bags 181MW order in Australia