German energy giant RWE has received clearance from a Dutch court to go ahead with the development of the 1600MW controversial coal-fired power station near Eemshaven Port in Groningen, Netherlands.

The Council of State rejected contention from environmental groups saying that the environment licenses issued for the project are proper, removing roadblocks for the project.

The construction of the $3.36bn power plant was stalled following dismissal of permits by the highest Dutch administrative court, after concerns were raised over the environmental impact of the project, reported Reuters.

Three environmental groups, including Greenpeace, filed a petition against the national government and two provincial authorities at the Council of State for their decision to issue power plant construction approval to Dutch utility Essent in 2008.

Essent is now owned by RWE.

The groups also raised concerns over the power plant’s location near nature reserves, including mud flats and islands off the Dutch and German North Sea coast, delaying the construction of the power plant, which started in 2008.

The facility was initially planned for completion in 2013.

However, following investigations, the court rejected the claims of the environmental groups over the project, which is designed to generate electricity to power 2 million Dutch and German households.

The court said: "That means that the power plant has the necessary environmental licenses."

The power station will be capable of partially fueled by biomass to generate power with an efficiency of 46.2%.