Approval has been granted for a new gas fired combined heat and power (CHP) plant in Stirlingshire.

Scottish Ministers have approved the development and operation of the CHP facility at BP Kinneil Terminal in Grangemouth.

As part of the Forties Pipeline System, the Kinneil Terminal is a strategic piece of oil and gas industry infrastructure and will provide long term security of service to the developers of new oil and gas fields who rely upon the FPS.

The new facility's output is expected to be 159MWe and would create up to 400 jobs during its construction.

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Energy Minister Fergus Ewing said the proposed development will provide "welcome long-term security of service to developers of new oil and gas".

"This combined heat and power plant falls within the Grangemouth Investment Zone that is identified in the National Planning Framework 3," he said. "It is therefore within the National Development area where Ministers will support development that is needed to maintain the key infrastructure and industry at the Grangemouth Investment Zone, strengthening its nationally important role in freight handling, providing energy-related infrastructure and facilitating wider economic activity.

"There is a long term sustainable future for the North Sea – which will be supported by investments such as these at BP Kinneil Terminal – and we are committed to using every lever at our disposal to support the industry through this challenging time."

(LM/JP)