Britain's energy ministry on Friday approved a 299-megawatt (MW) biomass power plant in Anglesey, Wales, proposed by a subsidiary of Anglesey Aluminum Metal.
"Biomass power stations such as this one in Anglesey will provide us a reliable, secure, flexible and renewable source of power," said Energy Minister Charles Hendry.
But it is uncertain whether the renewable energy plant will go ahead as the aluminum company's site where the plant will be located is in the process of being sold.
"The feeling (about the new owners) is positive. Just to let (the biomass plant) sit there or waste away would be sad, I hope that's not going to happen," said John Mervyn Jones, senior environmental specialist at Anglesey Aluminum Metal.
The biomass plant was initially proposed to supply the aluminum smelter with electricity.
The planning process for the biomass project continued despite the sale of the site, which started in 2009, as a granted planning permit increases the value of the land, Jones said.
Anglesey Aluminum Metal will announce by the end of the month who its preferred bidder is for the purchase of its site. At this point the new owner will also decide whether to continue the development of the biomass plant.
The power plant will use imported and local sources of biomass to produce electricity, the energy ministry said.
Around 100 people will be employed at the site which will generate power for roughly 300,000 homes.
Hendry approved another two 299-MW biomass plants last month proposed by coal-plant owner Drax.
Drax said the development of its biomass plants depended on the government's review of its renewable energy support scheme.
The government is expected to announce revised renewable energy subsidies in the coming weeks, a spokesman for the ministry said.