SEC Annual Report

SEC Annual Report FY26 in summary

• SEC began generating revenue in 2025-26, retailing 100% renewable electricity to more than 4,400 customer sites across Victoria.
• SEC continued to invest in critical large-scale, value generating assets, with one asset reaching commercial operation during the reporting period and two progressing in development. SEC increased its net assets by $491 million to $1.167 billion.
• SEC significantly improved its underlying EBITDA year-on-year amidst challenging system-wide market conditions, significantly improving on the previous year’s loss and establishing a pathway to sustainable returns.
• SEC remains in a strong cashflow position with a net increase in cash flow of $32 million for the year ended June 30, 2026.

Investing in Victoria’s energy future

The 2025-26 financial year marked a period of significant investment and delivery for SEC, as the company added another major asset to its portfolio, operationalised its first investment, entered the electricity retail market and launched a statewide platform and installer network to support residential electrification.

Across the reporting period, SEC increased its net assets by $491 million to $1.167 billion, reflecting the company’s continued investment in the infrastructure required to support Victoria's renewable energy transition.

The benefits of SEC’s investments are already being realised. The significant increase in utility scale and home storage capacity coming online during the reporting period has lowered wholesale electricity prices – a positive for all Victorian energy consumers. SEC’s giant battery, the Melbourne Renewable Energy Hub, was the largest battery to come online in Victoria during that period.

SEC began generating revenue when it entered the market as an electricity retailer on 1 July 2025, servicing 5% of the state’s electricity demand. The company also unlocked new revenue streams when the Melbourne Renewable Energy Hub began commercial operations in November 2025. While softening wholesale electricity prices reduced returns for SEC, they delivered benefits for Victorians aligned with the company’s public purpose mission of providing reliable and affordable energy.

SEC significantly improved its underlying EBITDA year-on-year amidst challenging system-wide market conditions. SEC is continuing to invest strongly to build its portfolio and deliver sustainable returns, which will be used in future reporting periods to support further investment in Victoria’s energy transition. SEC remains in a strong cashflow position with a positive cashflow of $32 million at June 30, 2026.

Investing in critical energy assets

SEC made strong progress across its asset portfolio, which grew to 1,024 MW of committed new generation and storage capacity with the addition of the 205 MW SEC Delburn Wind Farm, together with ongoing investment into the Horsham Renewable Energy Park. The company has now achieved almost 23% of its 4.5 GW portfolio target for 2035.

During the reporting period, SEC began construction on the 33-turbine SEC Delburn Wind Farm, Victoria’s first 100% publicly owned, utility-scale wind generation project, just south of the Latrobe Valley in Gippsland. SEC’s investment is delivering local economic benefits, including more than 300 work opportunities during construction, and over $22 million in neighbour and community benefits over the life of the project.

Significant progress was also made at the SEC Renewable Energy Park, a 119 MW solar farm and 100 MW battery project near Horsham. With all solar panels now installed and energisation about the begin, the project is on track to be fully operational in late 2027.

And the Melbourne Renewable Energy Hub was completed on time and under budget. In its first six months of operation, the A3 battery, over which SEC has full dispatch rights, discharged enough stored energy to power around 110,000 homes per day, shifting more than 119,000 MWh of electricity from the daytime, when solar generation is abundant, to the evening peak when it was needed most. While reduced volatility supports lower wholesale prices, it has also meant softer revenue available from arbitrage. This is a trend seen across Australia as more batteries, both grid scale and residential, enter the market.

SEC diversifies its portfolio across technologies, locations and contract structures to manage exposure to price volatility and share the benefits of publicly owned renewable energy across the state.

Retailing renewable electricity and supporting behind the meter technology

On 1 July 2025, SEC began generating revenue for the first time when it entered the electricity retail market, retailing 100% renewable electricity to large Victorian Government sites, including public schools, hospitals and transport. SEC is now one of Victoria’s major commercial and industrial electricity suppliers, supplying around 4,400 sites, a total metered load of 2,291 GWh a year.

The company has now expanded its retail offering to non-government customers, with a focus on partnering with businesses to develop end-to-end energy-as-a-service and demand management solutions, making renewable energy accessible and affordable.

As an engaged and proactive partner, we work with our customers to understand their electricity use and seek opportunities to reduce their bills, delivering thousands of dollars in savings.

Supporting households to electrify

In May 2026, SEC launched a comprehensive solution to help Victorian households switch to electric and save on their energy bills. Easy Electric SEC was developed using insights from 18 months of pilots and consumer engagement and fills an important market gap: giving people the information, choice, value, and agency they need to go electric at home. It is backed by an endorsed installed network that extends across the state, and a campaign to educate and engage households about the options and benefits of home electrification.

More than 75,000 Victorians accessed the platform in its first month.

Building the new energy workforce for the future

SEC is helping to build the renewable energy workforce of the future. In the past year, the company engaged with more than 67 schools through a comprehensive student engagement program, designed to inform, inspire, and empower students to take part in the transition and the opportunities it brings. SEC also engaged with more than 7,500 students and teachers at career events, school visits, and other events, raising awareness and interest in renewable energy jobs.

The company is already creating renewable energy jobs with around 1,880 job opportunities on its projects, including for 98 apprentices, trainees and cadets.

Delivering a reliable energy future for Victorians

SEC is owned by Victorians, which puts public purpose at the heart of everything we do. The company’s substantial and growing asset portfolio, together with our growing customer book, will deliver value to Victorians over coming decades, while enabling and stimulating private investment. Together, SEC’s activities will ensure Victorian communities, households and businesses have access to reliable, affordable and renewable energy, and enjoy the benefits of Victoria’s once in a generation transition.