A RESURRECTION may be on the cards for the Swansea Bay Tidal Lagoon scheme after the Welsh Government announced an offer of £200 million towards the project was "still on the table".

The £1.3 billion green energy scheme appeared to be killed off for good in June after the UK Government refused to back it.

The Welsh Government had previously said it was prepared to invest or lend £200 million to help the scheme - which would be the first of its kind in the world - get off the ground. If it was successful similar schemes were planned off the coast of Newport and Cardiff.

And, speaking in the Assembly yesterday, leader of the house Julie James confirmed the offer was "still on the table".

Ms James was speaking after a taskforce was set up by the Swansea Bay City Region to determine if the project can be resurrected.

"As soon as we know where the taskforce is going then we will be able to come forward with a statement," she said.

"We are working very closely with the taskforce and certainly, (the £200m) will not be spent on anything else in the meantime, but there are a number of options."

She added: "Until we know what those options are, we're not in a position to specifically say, but nevertheless, the Welsh Government continues its vehement support and vehement condemnation, I have to say, of the UK Government's lack of investment in this project."

Ms James was speaking in response to South Wales West AM Dai Lloyd, who said "hopes are still alive in Swansea this project can get off the ground".

"This project has the ability to provide a much-needed economic boost to Swansea and south west Wales and it's vitally important that, with the UK Government having again neglected Wales, the Welsh Government steps up to the mark," he said.

The lagoon would involve a large wall of turbines which generate energy as they are turned by the tides.