Ecotricity has announced it is to develop its third green gas mill in Somerset, which will generate enough green gas from grass to power up to 2,500 homes.

The energy company launched its first and biggest green gas mill project in Gloucestershire back in April, which will supply almost 6,000 homes. Its second is set to be developed in Hampshire, while a fourth is also due to be unveiled before the end of the year.

Green gas mills will make gas from grass using a process called anaerobic digestion: before feeding green gas, or biomethane, directly into the national grid to replace fossil fuel gas. Grass for each mill is sourced from non-food producing land within 10 miles of each plant.

Announcing its latest mill, Ecotricity founder Dale Vince said: "We are at the beginning of a revolution in gas, not from fracking but from farms – there’s a whole new industry waiting to be created here, meaning more jobs and plenty of economic benefits.

"We can’t continue using gas from fossil fuels, we are running out and causing climate change – the great thing about green gas, like green electricity, is we can still live the way we’re used to, but we can do so in a sustainable way.

"Making green gas from grass doesn’t compete with food production; it actually supports it and the farmers working the land. It also helps wildlife, creating new habitats – and there’s enough non-food producing farmland in Britain in principal to meet 95% of the gas we need this way.

"The strength of public opposition to fracking is crystal clear, and it’s only increasing – as well as the significant environmental and health impacts, it’s just an unnecessary risk which we can avoid entirely by pursuing green gas."