The interconnector cable running between France and the UK is reported to help smooth out supply volatility related to offshore wind power. The proposed cable would mean that energy generated from places where the wind is blowing can be transferred across the channel.

The 500 megawatt cable will run through the existing service tunnel. The Eurotunnel had a fire in 2008, however project leaders have stated that the electricity cable will pose no extra threat of fire within the tunnel as it is only 10cm in width and will be heavily insulated. By laying it through the service tunnel, it will be easier to maintain and thus safer.

The project, which could take two years to build, will cost an estimated £217 million. Eurotunnel will own 49 percent and infrastructure-focused fund manager Star Capital will own the remaining 51 percent.

The new link will not have a major impact on total UK power usage, which at peak times in winter is 60,000MW. However concerns have been mounting over the security of future UK electricity supplies owing to a pledge by the EU to generate 20 percent of energy from renewable sources by 2020.

Wind power is seen as key to hitting that target but it has proved a volatile source, largely due to difficulties predicting when and where the wind will blow; the proposed interconnector, called ElecLink could help with this distribution.

As well as ElecLink, there are currently eight other interconnectors planned between the UK and parts of Europe, which could handle over 6,000MW.

Eurotunnel's new link will increase capacity across the Channel by 25 percent. UK grid operator National Grid already runs a 2,000MW link to France and a 1,000MW link to the Netherlands.

It could also help smooth differences in price between the two countries. Peak usage in France is one hour earlier than in Britain because of the time difference.

If it proves successful, the size of the cable could be increased to 1,000MW.