A new, possibly fossil-fuelled, power station would be built in Victoria to try and bring down electricity prices if the Liberal-Nationals win the state election.
Liberal Leader Matthew Guy said a tender would be released for the private sector to build and run a new power plant to bring 500MW into the grid and bundle up electricity contracts for public facilities.
Mr Guy said packaging up some of the state's major energy users such as hospitals and the transport system, for secured prices, was the best way for government to take direct action and get back in control of energy prices.
Long-term 10-year plus tender propositions would allow a new 500MW power station to be built in Victoria and that supply flushed into the system.
The coalition has modelled the plan on a gas-fired plant, which could be built in two years, and would be put out for tender within six months of coming to power.
However, government would not dictate what energy source would be used and have left the door open to coal.
They say it would save households $350 a year.
The opposition is also promising to help keep Yallourn coal-fired power station open until it's expected closure in 2032 and would freeze the coal royalty tax until 2032.
"Prices will come down under Matthew Guy," opposition energy spokesman David Southwick told reporters.
Victorians will get a chance to cast their ballot early from Monday with thousands to cast their votes before the election on November 24.
More than 4.1 million Victorians are enrolled to vote.
Australian Associated Press
