The Scorchers slumped to 2-4 in the second over of Tuesday night's match after openers Zak Crawley (1) and Cooper Connolly (0) departed in quick succession.
Crucial knocks from Josh Inglis (64 off 44 balls) and new skipper Aaron Hardie (57 off 41) put the Scorchers on track for a score close to 200.
But from 3-157 in the 17th over, the Scorchers lost 7-5 in the space of 18 balls to be bowled out with two balls still remaining.
Hardie was the first to fall in that sequence when he was caught in the deep.
Three balls later, Nick Hobson holed out.
Will Sutherland then sent Laurie Evans (24 off 15), Ashton Agar and AJ Tye packing in the 19th over, with all three batsmen caught.
The Renegades completed a team hat-trick when Jhye Richardson fell first ball of the 20th over, and the Scorchers were put out of their misery when Lance Morris was run out three deliveries later.
Paceman Tom Rogers was the standout bowler with figures of 3-18 from his four overs, while Sutherland's late heroics ensured he ended with 3-36.
☝️ Crawley— KFC Big Bash League (@BBL) ☝️ Inglis☝️ HobsonImpressive display with the ball from Tom Rogers. #BBL13 pic.twitter.com/qMkEAiVwt2December 26, 2023
Star spinner Adam Zampa (1-48) copped a battering, but his wicket of Hardie helped spark the massive collapse.
Crawley was the first to fall on the night when he attempted to heave Rogers for six but instead lobbed it to a fielder inside the circle.
Alarm bells were ringing when Connolly was bowled by Mujeeb Ur Rahman.
The Scorchers crawled to 2-17 from their four-over Power Play.
Josh Inglis smacked 64 of 44 balls as the Perth Scorchers made 162 against Melbourne Renegades. (Richard Wainwright/AAP PHOTOS)
But from there Hardie and Inglis broke the shackles.
What started as a trickle became a torrent, with Inglis smacking Zampa for consecutive sixes in the eighth over to send the crowd wild.
The 120-run stand was brought to an end in the 15th over when Inglis attempted to scoop Rogers for six but instead hit it straight to a fielder.
Hardie's departure sparked one of the biggest collapses ever witnessed in BBL history, but at least the Scorchers had already set the foundation for a defendable total.
Good catch from Sutho!— KFC Big Bash League (@BBL) Aaron Hardie departs for 57 in his first match as skipper. #BBL13 pic.twitter.com/KiR1jWn8D4December 26, 2023
Renegades wicketkeeper Quinton de Kock tweaked his back late in the Scorchers' innings, and looked sore as he soldiered through the pain.
Spinner Mujeeb Ur Rahman played despite being sanctioned by the Afghanistan Cricket Board for putting his BBL contract ahead of the interests of the national cricket body.
Mujeeb, Fazalhaq Farooqi and Naveen Ul Haq have all had their annual Afghanistan contracts delayed and permission to play franchise cricket revoked for two years.
It means Mujeeb is no guarantee to be able to play for the Renegades beyond December 31, given the sanction kicks in from January 1.
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