Mayo County Council has granted planning permission to Bord na Móna and an ESB subsidiary for the largest wind farm in Europe.

The €300 million wind farm, with 192 turbines, is proposed for an area near the Bellacorrick peat-burning power station in the north of the county.

This is due to close within two years with the loss of 250 full- and part-time jobs.

The wind farm project, proposed by ESB-owned Hibernian Wind Power (HWP) and Bord na Móna, will cover 12,000 acres and generate up to 320 megawatts (mw) of power.

This will double the country's present wind energy output and will provide for 200,000 homes or 7 per cent of existing demand.

The site is next to an existing 6mw 21-turbine farm.

The ESB was the biggest beneficiary of the last round of green energy contracts handed out by Government.

Its subsidiaries, HWP and ESB International, were awarded contracts with a potential value of €37.3 million.

The decision enraged independent operators. However, yesterday, the Irish Wind Energy Association (IWEA) chairman, Mr Tim Cowhig, cautiously welcomed Mayo County Council's decision.

"It's important in order to ensure full transparency, that the ESB be fully deregulated," he said.

Local people and groups objected to the Bellacorrick project. Mayo County Council received 30 letters of objections and observation, some from notifiable bodies.

Visual impact is a concern for some people with grazing rights and land ownership is also being cited as a concern.

Local councillor Mr Tim Quinn (FF) welcomed the decision to grant planning and urged local business to become involved in the manufacture of the turbine blades, which have to be imported.

The ESB is setting up a fund to encourage local initiatives when the peat-burning power station closes in 18 months.

A committee examining options for development in north Mayo was set up by Cllr Quinn, outgoing Cathaoirleach of Mayo County Council, and includes council officials, Údarás na Gaeltachta members, ESB, Bord na Móna and local business people.

Bord na Móna is making a 127-acre site available in the area for a business park. Cllr Quinn said that this would an ideal site for constructing the turbine blades.

There are no indications yet whether or not the planning decision will be appealed to An Bord Pleanála.