Labor will wind back the restrictive planning controls put in place by the Coalition government in 2011, which Labor says has stopped dozens of wind farm projects, cost thousands of jobs and driven investment interstate.

The blanket bans restrict community-run wind farms, and also prohibits wind farms in the windiest parts of the state, including the Macedon/McHarg Ranges and Bellarine Peninsula. 

Under the current laws, householders also have the right to veto wind turbines within a two kilometres of a residence.

But Labor will halve the exclusion zone around wind farms and allow for community wind farms, in a bid to galvanise a stuttering industry. 

It comes after the Macedon Ranges Sustainability Group released a report on residents’ views at the community-owned Hepburn Wind. 

The report revealed 86 per cent of Macedon respondents supported community wind farms similar to those at Daylesford. 

Friends of the Earth welcomed today's announcement to ‘rip up’ the worst aspects of anti-wind farm laws.

“The announcement paves the way for broader reform of wind energy planning laws," he said. 

“Labor’s pledge to exempt community-initiated projects from wind farm restrictions is sensible policy.

"Yet, the blanket bans on wind farms still prohibit commercial projects that enjoy strong community support.”