The college will be located on the Pipelands site in St Andrews.
Welcoming the news, Councillor Bryan Poole, Executive Spokesperson for Education, Children, Young People and Families, said: "I'm delighted with today's decision which, at last, gives hope for the next generation of St Andrews' high school pupils.
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"I hope that Government ministers will let us get on with designing a new school, which is desperately needed for north east Fife. I invite and urge the parent community and local organisations, like the St Andrews Preservation Trust and Community Council, to work with us on a design and final plans.
"We want everyone to be positively involved and any further delay will only be detrimental to the education of local youngsters."
The planning application for the school needs to be referred to the Scottish Government because the local authority is proposing to build on greenbelt land, which is a significant change from the original development plan. If Ministers choose to approve the decision, the council will produce a detailed design for the new school and submit a detailed planning application.
(JP)
