The project, known as the Atlantic Wind Connection is expected to generate 7,000MW of electricity to be produced at offshore wind farms from Virginia to New Jersey.

Google and other investors Good Energies, Marubeni and Trans-Elect Development Co have made pledges to invest $5bn for a network of transmission lines for offshore wind farms to be built over the next ten years.

Construction of the line could commence in 2014 and on completion will meet the power needs of 2 million homes, reports Associated Press.

Atlantic Wind Connection CEO Bob Mitchell said the government’s action is an important milestone for the project.