Victorian Government Invests $14 Million in AI to Streamline Regulation and Boost Skills Assessment

Victorian Government Commits $14 Million to AI Initiatives

The Victorian government has allocated $14 million in its latest state budget to support two artificial intelligence projects aimed at improving regulatory processes and vocational training assessments.

Digitising Regulatory Processes

The bulk of the funding, $11.1 million, will be dedicated to a regulatory digitisation and AI program. This initiative focuses on replacing outdated paper-based and digital systems to streamline licensing and approvals. The budget plans for $2.8 million in the next financial year, increasing to $3.5 million and then $4.3 million in subsequent years.

AI to Recognise Prior Learning

The remaining $2.8 million will fund a pilot project that uses AI to support recognition of prior learning. Led by Bendigo Kangan Institute of TAFE in partnership with the Victorian TAFE Network, this technology aims to help skilled workers avoid unnecessary training by fast-tracking their learning pathways.

Building on Automation Successes

This investment follows positive outcomes from previous automation efforts. For example, Solar Victoria’s use of automated application assessments reduced processing times to an average of six business days, beating the 10-day target. Additionally, rebate payments to solar retailers were processed faster, within five business days.

Automated improvements also enabled the government to nearly double the number of utility relief grants processed in 2024-25. These grants assist low-income households facing overdue electricity, gas, and water bills.

These AI projects reflect a practical approach to improving government services by cutting delays and reducing unnecessary workload.