The CC's Australian Renewable Energy Race report said Victoria and New South Wales (NSW) are going from "leaders to a laggards", while South Australia is the leading state for renewables.

"Victoria has excellent wind and solar resources. However, the restrictive policy environment makes it the least favourable investment environment of any Australian state for renewable energy," said the report.

The CC’s research found that Victoria's wind farm restrictions – which include a right of veto for a homeowner within 2km of a project and blanket bans across large swathes of the countryside – had cost the state A$4bn in investment and 3,000 jobs.

South