ALMOST 2000 jobs could be created in Ayrshire if a £2billion power station is built.

The venture would see the new plant sit next to the existing nuclear reactor and coal terminal at Hunterston and could provide power across Scotland.

Planning permission for the new-generation plant is being sought next summer and strengthens the case against further nuclear reactors being built.

It could create 1700 jobs.

Fuelled by "clean coal" and biomass fuel, the plant would be the biggest completed in Scotland.

Last night, there was broad approval for the scheme from politicians, but environmental groups pushing to reduce Britain's heavy dependency on polluting fossil fuels were sceptical about the project's green credentials.

According to those behind the plans, the power station, which would be fuelled by coal and up to 15% biomass with an output of 1600 megawatts, would use state-of-the-art technology to deliver the highest standards of efficiency. It could provide average levels of electricity for two million homes.

Its backers insist "clean coal" is distinct from old coal technologies while the plant will also be suited for generating power from burning biomass - by- products from forestry and farming.

On coal alone, it is claimed, the new technology would reduce carbon emissions by up to 25% compared to conventional coal-fired power stations.

The first of two 800 megawatt plants could be operating by 2014, but a more realistic timetable is for a switch-on in 10 years time.

Up to 1500 jobs would be created during the construction phase and up to 150 posts when it is operational. Denmark's state-owned energy company, Dong, is behind the proposal, with partners Peel Energy.

It is hoped the Hunterston location may reduce planning objections while the deep-water port facilities would remove the need for further transportation of imported coal.

Secretary of State for Scotland Jim Murphy said: "It could form a welcome step forward in addressing a future energy gap."

Owen Michaelson, chairman of Peel Energy, said renewable energy facilities alone could not supply all the fuel required.

Jens Kragholm, project manager at Dong, added: "We are at a very early stage in the process and just starting the initial environmental investigations based on an outline design."

The plans come just two days after the Scottish Government issued guidance stating that new fossil fuel power stations should be ready for carbon capture technology.

However, Duncan McLaren, of Friends of the Earth Scotland, said: "No new coal-fired power station should be approved by the Scottish Government unless it operates carbon capture from day one.".