THE world's biggest cruise ship companies could operate out of a �30 million port replacing Cockenzie Power Station under a proposal put forward by a global transport expert, the Courier can reveal.

Up to half a million people could pass through the area annually with at least 1,000 direct jobs created, according to Professor Alf Baird of the Research Transport Institute (RTI) at Edinburgh Napier University, who has researched 'Cockenzie Marine Terminal'.

The coal-fired plant there is to close in March, and permission has been granted for ScottishPower to install a gas-fired station. But in the current economic climate, it seems increasingly unlikely the company will pursue that option, leaving the door open for an alternative project.

East Lothian Council's Labour-led administration says it has been in discussions with Mr Baird over the plan, while opposition SNP councillors hope to progress it at the Scottish and European Parliaments.

Factors in the site's favour include: l It is close to the open sea; There are no tidal problems; There are no ship length or width constraints; There are opportunities for expansion; Adjacent land could provide freight storage; and, It has good rail and road links.

One or two narrow piers would extend into the water from the shore, with parking, storage areas, and buildings/offices providing the infrastructure on land.

The only places in the Forth that cruise ships can currently dock are Leith, Rosyth and Hound Point - which are deemed unsuitable for modern requirements.

Mr Baird told the Courier: "The problem we have is that Rosyth can't handle the big cruise ships and neither can Leith.

"I became very concerned when Forth Ports approached Edinburgh City Council for public funding to create a terminal outside the Leith lock entrance. That would probably cost more than �100 million.

"I have had discussion with some of the cruise ship companies, who really want to use the Forth or Edinburgh as a 'turnaround' port or 'home' port. In my view, you don't have to spend �100 million or go to the taxpayers of Edinburgh.

This can access European funding, and there's also the European Investment Bank, who give low-cost, long-term loans to public or local authorities to finance the infrastructure.

"You then concession it out to private operators to run for 30 years, and all the finance is paid back.

"There's a very limited commitment on the part of the public sector required."

With space for two ships at a time, Mr Baird believes between 200,000 and 500,000 people could pass through the port every year.

Four, seven and 10-day cruises could run to northern Europe including Scandinavia, Iceland, the Baltic Sea, around the British Isles, and south towards France.

There would also be opportunities for use of the port by freight vessels.

Mr Baird said that the potential economic impact was difficult to gauge, but added: "I think the cruise terminal is a long time coming - we are 10, 20 years behind anywhere else.

"If the public bodies want economic impacts from cruise shipping, they really have to help provide the infrastructure. Cockenzie is a great opportunity."

Councillor Paul McLennan, the council's SNP Group leader, met recently with Mr Baird and hopes to hold a public meeting with residents.

He said: "The cruise liner market is a growing market and we are determined to help bring the benefits of this to the East Lothian economy.

"The potential tourist benefits for East Lothian are enormous, not only for a port at Cockenzie but for many more businesses in East Lothian."

Councillor John McMillan (Lab), economic development spokesman at ELC, said: "This proposal is interesting but will require to be discussed more fully with all involved parties."

However, council leader Willie Innes (Lab) accused the SNP of "trying to hijack the story" after Mr McLennan - who brought it to the Courier's attention - claimed the administration was "not aware" of the proposal.

He added: "I got [Councillor] Norman [Hampshire] to contact Alf about two months ago to speak to him and see what he'd been doing. He had progressed [the idea] and had a paper he was putting to a conference, so it was quite timely."

County MSP Iain Gray said: "Anything which has the potential to create jobs and boost our local economy merits serious consideration."

Margaret Hamilton, chair of Cockenzie & Port Seton Community Council, added: "I can't see it being a bad thing at all - especially if it brings in jobs."

ScottishPower had not provided a comment at the time of going to press.