The secretary of state for energy security and net zero has granted a development consent order (DCO) for the Net Zero Teesside (NZT) Power scheme.
This marks a “major milestone” in plans for a carbon capture energy facility at the Teesworks site, near Redcar, according to the Tees Valley Combined Authority.
Teesworks chairman Chris Musgrave said: “Planning consent has been secured and now nothing’s holding us back in getting this scheme off the ground.”
The scheme aims to create the world’s first gas-fired power station with carbon capture and storage capability.
Teesworks say the power station, which is being developed by partners bp and Equinor, could generate up to 860 megawatts of low carbon electricity – enough to power more than one million homes.
Under the plans, carbon emissions from the power station will be captured and transported by pipeline to a storage site under the North Sea.
A DCO, which is required for nationally significant infrastructure projects, has now been granted for the scheme.
‘Hard at work’
Extensive work to clear and prepare the site where the Redcar blast furnace once stood is continuing ahead of construction.
Mr Musgrave said the project could create and support up to 4,000 jobs.
He added: “We’ve been hard at work preparing the land.
“Net Zero Teesside Power is a key part of the puzzle to our carbon capture and storage ambitions, feeding into the net zero ambitions of existing businesses and becoming a prime asset for others looking to relocate here.”
Paul Morrison, chief executive of the government’s Planning Inspectorate, said the decision came after evidence was gathered from local authorities and communities.
He said: “The Examining Authority listened and gave full consideration to all local views and the evidence gathered during the examination before making its recommendation to the secretary of state.”