The proposals for the facility in Shannonbridge, Co. Offaly would have seen it fuelled with biomass as well as peat.

An impasse between the ESB and the Environmental Protection Agency that has led to the suspension of operations at a power plant in Longford could lead to industrial action by Bord na Móna employees, unions are warning.

Industrial action is looking increasingly likely at Bord na Mona after the briquette company announced plans to close its operations in Tipperary by next April.

The Bord na Móna group of unions says it “does not accept” the decision by the company to close its peat briquette plant in Littleton, Co Tipperary, which will lead to the loss of 69 jobs.

The Unite union has said that the High Court ruling to overturn planning permission for the continued operation of Bord na Mona’s Edenderry plant has come "at a time of heightened industrial tension".