Speaking at The Courier Earth Matters forum at the Brewery Theatre, Senator Milne said the financial crisis could not have come at a better time.

She said the government needed to invest in a "Green New Deal" which would tackle the economic crisis and the climate crisis together.

The deal, launched by the United Nations last month, echoes US President Franklin Roosevelt's 1939 "New Deal" to work America out of the Great Depression.

"We need to invest in the Green New Deal and deal with climate change. We can kick-start our economy and invest in a green renewable energy revolution," Senator Milne said.

"If the government is going to put the money in big time, our task is to make sure they are doing it right."

The plan would see a massive investment in energy efficiency, renewable energy, alternative transport and forest protection.

It would also create high quality, permanent jobs in a thriving, prosperous, green economy.

Senator Milne said the environmental impact of the plan would see solar panels mandatory on homes, electric transport, compulsory rainwater tanks, community vegetable gardens, retrofit homes and extra bike and pedestrian paths.

She said the key to the plan was education.

While the plan would see residents becoming less efficient and using less resources, Senator Milne said people would still live well.

She said there was a powerful collaboration between organisations including The Courier, University of Ballarat and Ballarat Renewable Energy and Zero Emissions to endorse the plan.

"I think all this is quite possible in Ballarat. It has all the arms to make this happen and that's unique in Australia," she said.

"It means you are creating local jobs, employing local people and building a better community."

Senator Milne said it was possible the world could come together next year and do something about climate change.

"This community needs to see we want to be a renewable community and if you don't, it's not good enough," she said.