Executive director Philip Sabien said the association would begin work on a detailed application, to include a project description, capability statement, finance information, risk mitigation strategy and proposed timeline.

The State Government announced in March it would provide up to $100 million to develop a solar power station in regional Victoria to produce enough electricity for 50,000 homes by 2015.

Mr Sabien said the total cost of the project was about $250 million and depended on both state and federal funding.

He said a site had not been chosen but it would need to go close to a high- voltage power line.

"The amount of land required would be about 1000 hectares and it would have to go near a high-voltage line so that it could get power into the grid," he said.

"We need to talk to the Federal Government about funding, and we're also looking at commercial partners."

Mr Sabien said the association had already begun talks with an Adelaide company that was an expert in solar power and had built stations overseas.

"About five or six areas of northern and central Victoria expressed initial interest in the project," he said.

"We are serious about putting together a proposal for this on behalf of the region.

"People have been very supportive of it. People are beginning to realise that we've got to find a renewable energy source, whether it be bio-fuel or solar energy."

The project would provide significant employment and investment opportunities in the region.

Horsham Rural City Council has thrown its support behind the association's bid for a solar power station.

At last week's council meeting Cr Michael Ryan said a solar power station could generate enough energy to power 50,000 homes.

"Irrespective of what you feel about climate change we need to develop alternative energy sources," he said.

"It's good to see the association's application. I'd prefer Horsham but I'm glad it's the region."

Mayor Bernard Gross said it would be beneficial for the Wimmera to continue the development of solar power energy, following on from Mildura's solar power station.

"This together with other forms of alternative energy such as wind farms are a must," he said. "I'm delighted we're looking into it."