Plans to build a £1.3 billion tidal lagoon in Swansea Bay have been backed by a government-commissioned review. However, this does not mean it will go ahead just yet, as the government still needs to agree on a deal and a marine licence would need to be approved.
The lagoon is designed to harness power from the ebb and flow of the sea's tides. Charles Hendry's independent report into the viability of the lagoon said it would make a "strong contribution" to the UK's energy supply. The report also said that:
Mr Hendry, who is the former UK energy Minister, said: "If you look at the cost spread out over the entire lifetime - 120 years for the project - it comes out at about 30p per household for the next 30 years. That's less than a pint of milk."
The lagoon at Swansea Bay is planned to use 16 turbines along a breakwater, and is considered to be the first of a potential network of lagoons around the UK.
However, despite the potential benefits to renewable energy production, there are other environmental concerns to be investigated by Natural Resources Wales (NRW) which could arise as a result of the lagoon, such as its impact on flooding, fish, birds and marine habitats. These issues will need to be investigated before a marine licence is granted for the project.