The government was responding to a speech by Member for Northern Victoria, Wendy Lovell, about a petition asking for the eastern section of the zone which runs between Shepparton and Benalla.
The petition gathered about 11,000 signatures.
Member for Northern Metropolitan District, Sheena Watt, announced the decision in the Legislative Council late Wednesday afternoon.
Dookie farmers and residents have been campaigning to have the zone withdrawn from the Victorian Transmission plan and were gearing up for a further fight when the official consultation period opened.
The Protect Dookie and Goulburn Valley group, formed in the wake of VicGrid’s announcement of the zone, maintained that the Dookie region was a much too productive farming area to be swallowed up by solar farms and wind generators.
Group spokesperson, Jodie Fleming expressed surprise and delight that the whole of the zone was being removed.
“It just shows what people power can do. We are thrilled that they listened to us. Thank you to the 11,700 people who signed the petition.”
She said she was pleased the high value agricultural land had been removed from the zone.