Scottish and Southern Energy and Irish energy firm ESBI are gearing up to begin construction of a new £400m gas-fired power station near Southampton, which will have an installed capacity of around 850MW.

Construction work is expected to start early in 2007, with the power station being fully commissioned by the winter of 2009. The plant is expected to have one of the highest thermal efficiencies of any power station in the UK and in a typical year will meet the electricity requirements of around one million homes.

Ian Marchant, Chief Executive of SSE, said, “There is a clear consensus that the UK will need a significant amount of new electricity generation capacity over the next 15 years. This will help SSE retain its position as the largest non-nuclear generator in the UK, and the generator with the most diverse portfolio of power stations. It will also help to keep the UK’s lights on.”

The UK’s Minister for Energy Malcolm Wicks MP said, “A major part of our energy review was about enabling the power industry to deliver reliable and lower carbon energy supplies for the UK over the long term. This announcement by SSE and ESBI confirms that there is a significant appetite to invest in energy in the UK and is a very welcome development.”