There are however some matters which require further clarification, including making sure that the right conditions are imposed on the development to secure the necessary highways improvements in good time to provide congestion relief.

Commenting on the announcement, Derek Twigg said, 'We believe this expansion in ports capacity is justified by the economic benefits it will bring regionally and nationally, for UK industry and the economy.

We are committed to sustainable distribution and this new project would play a large part in securing that aim. That is why I am minded to agree with the Inspector's recommendation that we should approve this project.

We understand at the same time that the new terminal will have a significant impact on the environment. This is why we agree that there should be controls imposed on the development, to provide new road and rail infrastructure so that congestion does not increase, to provide compensatory habitats for wildlife displaced by the scheme, and to reduce other environmental impacts such as noise, pollution and the visual impact.'

Hutchinson Ports (UK) Ltd applied between 2001 and 2003 for various Orders and consents under the Harbours Act 1964, the Harwich Harbour Act 1974, the Parkeston Quay Act 1983 and the Coast Protection Act 1949 to construct a new container terminal at Bathside Bay, Harwich, consisting of a 1.4km quay wall.

Parallel planning applications were made to the local planning authority to secure all the necessary consents to build the scheme.

A public local inquiry into all the applications, which are interdependent, was held between April 2004 and October 2004.

The Inspector considered all the arguments for and against the proposals, and reported in March 2005 recommending approval of the applications, subject to conditions.

ODPM Ministers have considered the planning applications and are writing, in parallel with DfT, to the promoters indicating that they are minded to approve those applications in principle.