Two homes on Bendigo Street being powered by a substation on nearby Alexandra Parade were switched off yesterday, the Herald Sun reported.
“You should have heard the screaming and shouting from inside when power was disconnected,” a local said.
The Victorian government has since denied allegations they had been responsible for the power outage.
“We (the government) were not involved,” Minister Martin Foley told 9NEWS.
The outage comes days after a squatter’s body was found under non-suspicious circumstances inside one of the properties, which were acquired as part of the now-scrapped East West Link project.
Dozens of squatters were evicted by police and security from properties on Bendigo Street last week.
Read more:‘No one has been advocating for our side of the story’: Neighbours fear Melbourne squatters