If successful, the scheme will be rolled out to several former collieries which already have turbines capable of producing electricity and direct access to the national power grid.

Rapeseed, whose bright yellow flowers colour the landscape in spring, is already being used across Europe to make so-called biodiesel that is added to petroleum-based fuels to power vehicles. But the new British scheme marks the first time the crop has been harnessed commercially for electricity.

Swiss-based agrochemicals group Syngenta is providing the seed for the project and farmers will sign a contract to supply their harvested crops to local firm Springdale Energy, which will run the power plant.

Electricity generated will be sold on to SmartestEnergy, an independent energy trader that is part of Japan's Marubeni group.

The programme involves an initial 4,000 hectares of crops.

Andrew Coker, a spokesman for Syngenta, said on Friday the project was the first of its kind, although he noted there were some non-commercial schemes in operation, including a subsidised rapeseed power plant in the German parliament building.

Until now, schemes using "green" or renewable sources of fuel for electricity have focused on burning straw or biomass crops, such as willow coppice.

Governments around the world are under pressure to come up with sustainable sources of energy to meet commitments under the Kyoto protocol on climate change. In the case of Britain, this requires that 3-5 percent of electricity be generated from renewable sources by 2010.