Vattenfall is to build a 10 MW wave energy farm off the Orkney islands in Scotland.
The Swedish company has signed a deal with the European Marine Energy Centre to secure the site for the farm and plans to use wave energy converters supplied by Pelemis.
Vattenfall expects installation to be completed by next year and anticipates the site could provide electricity to about 8500 homes in Scotland.
Karl Bergman, head of research and development at Vattenfall, said: “The Orkney Islands is the place to be in wave energy research and development. We are delighted to have access to the test site and we look forward to install a wave power converter there.”