The 1200 megawatt Forest Wind project was to have been constructed in southern Queensland state forests in Gympie, Maryborough and the Fraser Coast, potentially delivering power for one in four homes in the state.
However, Queensland's Liberal National government has scrapped the project, which would have featured 226 wind turbines standing up to 160m, citing community and approval concerns.
Deputy Premier Jarrod Bleijie said the government would repeal legislation passed by the former Labor government in 2020 that gave the green light for turbines to be constructed in state forests.
Mr Bleijie said the project had created "fear and anxiety" in the respective communities, with residents reportedly claiming there had not been enough public consultation before it was approved.
The state government said the project's venture partner had also withdrawn in August 2024.
The withdrawal and the "loss of landholder support" ensured the wind farm failed to meet minimum project requirements to allow it to proceed, the government said.
Conservationists have raised concerns after the state government knocked back another renewable project.
The former Labor government's Pioneer-Burdekin pumped-hydro scheme was canned shortly after the LNP won the October 2024 election.
The LNP government will also no longer track how much renewable energy is contributing to the grid, calling it a "discontinued measure" in its June budget.Â
"The Crisafulli government's move to prematurely axe Forest Wind is just another indication that they're putting ideology over the practical need to build renewable energy to get down emissions and power bills," Queensland Conservation Council's Dave Copeman said.
A recent LNP national convention in Queensland voted unanimously to pass a resolution to abandon net zero by 2050.
The federal coalition is reviewing its emissions reduction policies and the House of Representatives is debating Barnaby Joyce's private bill to dump Australia's net-zero target.
The Queensland government's decision comes after a $10 billion wind farm set to generate 2000 megawatts of capacity off the NSW coast was scrapped in August after a Norwegian energy giant pulled out.
Mr Copeman said the Queensland wind farm's proposed area was suitable for construction.
"We want to see renewable energy projects built in the right locations where there is minimal impact on the environment," he said.
"Pine plantations are key areas we should look to build projects because the local biodiversity has already been severely impacted."