The Government has given the go-ahead for a combined heat and power plant at the Jaguar site in Halewood. The proposed chp station will supply all the heat and electricity for the Jaguar works.

Energy Minister Peter Hain comments: "Combined heat and power plants are designed to produce both electricity and usable heat. They have environmental benefits due to their levels of energy efficiency."

He added that the Government would continue to back environmentally sound energy sources: "The decision demonstrates the government's continuing commitment to promote chp, wherever practicable, and our commitment to reducing emission of greenhouse gases to fulfil the promises we gave at Kyoto."

BP Energy will build the 70 MW gas-fired plant which will release around 50% fewer emissions than a conventional fossil fuelled power station.