Swedish energy firm, Vattenfall, has received a letter of consent from the UK government to build the 299MW Pen y Cymoedd onshore wind farm in South Wales.

The £300m wind farm, located between Neath and Aberdare, will include 76 wind turbines and is expected to generate enough electricity for up to 206,000 homes on an annual basis.

Charles Hendry, UK Energy, said: "This project in South Wales will generate vast amounts of home-grown renewable electricity and provide a significant benefits package for the local community."

The firm also said the site would increase Wales’ generation of renewable energy by 37%.

Piers Guy, Vattenfall’s head of onshore wind development UK, said the Pen y Cymoedd is a major project that could be worth more than £1bn.

"Through this project, we will be supporting the delivery of national and local priorities – from creating local jobs, supply chain opportunities and apprenticeship schemes, to supporting tourism initiatives, community services and facilities.

"Our 25 year investment makes us one of the most significant community investors in Wales.

"The project will see Vattenfall investing in a £3m local habitat restoration project and a community fund that will provide guaranteed funding support for regeneration of more than £55m over the next 25 years."

Natural Power has completed the environmental impact assessment and technical services for the wind project.

Construction could start as early as next year once Vattenfall makes a final investment decision, with first power generation expected in 2016.

Image: The wind farm will include 76 turbines. Photo: courtesty of dan.