Yorkshire set to take the lead in renewable energy

Denmark's largest power company, Dong Energy, plans to build the biomass power station, which would burn renewable fuels such as wood, on reclaimed land near Queen Elizabeth Dock in the port of Hull.

It would generate enough electricity to run about half a million homes as well as creating jobs.

The development would also be key in plans to bring in millions of pounds of investment to Yorkshire which is aiming to benefit from the growth of the "green" energy sector. .

The UK's largest ports operator Associated British Ports (ABP), which owns the 40-acre plot of land, said if the plans were to go ahead it would be a catalyst for the construction of its proposed new cargo terminal alongside the power station.

The 100m Hull Riverside Bulk Terminal would handle imported biomass fuel for Dong as well as other dry bulk customers, such as those carrying steel, grain or coal.

Ian Crummack, a spokesman for Dong, said: "We are in the very early stages of investigating potential sites.

"The Humber Estuary location has a lot of potential, particularly because it offers the advantage of bringing biomass to the power station via water.

"This greatly reduces the need to transport the fuel by road and would therefore reduce the power station's carbon footprint and impact on the local transport network.

"In addition, the site we are considering is reclaimed land that is currently vacant so developing a modern biomass facility would regenerate this land and bring employment."

There are currently no plans for the site but the project, called Humber Renewables, is expected to create between 50 and 200 jobs.

Hull Council leader Coun Carl Minns said: "(The) announcement will help Hull to establish itself as the green centre of the energy in the region. The environmentally-responsible site will create construction jobs and permanent jobs during operation for local people in years to come."

The proposal is open to public consultation, a process which will take about six months, before plans are submitted to the Infrastructure Planning Commission by the end of the year. The earliest the power station could be operating is 2016.

East Riding of Yorkshire Council leader Coun Stephen Parnaby said the investment was fantastic news for the local economy.

Peter Jones, chief executive of ABP, added: "These projects represent potential major investments in infrastructure at a time when they are most needed."

Mr Crummack insisted the environmental impact on the area would be "minimal".

But Tim Page, conservation advisor at Natural England, warned that the site was close to a conservation area at Saltend, which is home to waders and wildfowl during the winter.

It was not possible to say at this early stage whether Natural England would favour the proposal.

EU FUNDS MORE GREEN PROJECTS

Experts looking to slash Yorkshire's carbon emissions have welcomed the announcement of a new multi-billion pound European Union fund for green energy projects.

Regional planners hope to secure hundreds of millions of pounds from the fund, which was formally agreed by the EU earlier this month.

The central pot – worth an estimated four to six billion euros – will help to fund at least eight carbon capture and storage (CCS) projects and more than 30 innovative renewable energy schemes across Europe.

CCS is the emerging technology of collecting harmful CO2 emissions and burying them.