Orkney Islands Council will commission a feasibility study analysing the potential siting of a wind farm.
Officials said a wind energy project would have massive potential benefits for communities across Orkney.
Surplus energy generated by the scheme, on the island of Flotta, could potentially be put back into the national grid.
The study would investigate the scheme’s potential location, design and assessment of risk.
There would then be further consultation with the community on Flotta.
Orkney is already established as a hub of marine renewable energy.
The council’s director of development services is to commission a feasibility study with a business plan.
Councillor James Stockan, chairman of the council’s development committee, said: “Orkney has extensive renewable energy resources and developing them could help sustain the economy of the islands into the future.
“There is a long way to go but this initial investigation would enable us to see if the project is feasible.
“Consideration of local opinion is a major priority and we want to show our commitment to renewable energy in Orkney.”
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