To examine the details of the consent granted, Forth Energy will now engage with the relevant authorities, including the Scottish government and Fife council.
The plant will be built with an investment of about £325m, and is expected to deliver around £26m of annual economic benefit to the area.
The CHP facility, which is expected to generate around 120MW of low carbon renewable electricity and 30MW of heat, will use wood fuel sourced from overseas.
The plant is expected to create around 300 construction jobs, peaking at 500 during parts of the build process; then around 70 operational jobs, running the plant and handling the fuel.
Forth Energy managing director Calum Wilson said the company is looking forward to engage with Scottish government, Fife council and local community.
"We are delighted that the Scottish Government has approved our proposal for a renewable energy plant at Rosyth," Wilson added.
Image:Forth Energy has received approval to construct CHP plant in Scotland. Photo: Couretsy of Pöllö.
