GROUNDBREAKING plans for "eco-developments" dubbed the Prince of Wales's "new Poundbury" have been approved.

The developments, which will use state-of-the-art environmental technology, will be built on land in and around Newquay owned by the Duchy of Cornwall.

Restormel Borough Council has given outline planning approval for three applications that will create 700 new homes and support almost 600 jobs.

Two of the applications were drawn up by Leon Krier, who also prepared the masterplan for Poundbury, a celebrated experimental community in Dorset.

The developments have been hailed locally as "Surfbury" in recognition of Newquay's status as the surfing capital of the UK.

Tim Gray, development director for the Duchy of Cornwall, said: "We're delighted that Restormel's members have endorsed our outline plans which aim to deliver a range of quality affordable homes, other housing and workspace.

"We have a consortium of committed South West developers on board and would hope to start construction on one or more of the schemes in 2010."

Mr Gray said the recession would not stop the developments from going ahead. "Despite the economic downturn we remain wholly committed to these projects," he said. "As a landowning institution of long standing, we have a different perspective from mainstream developers and take a long-term view. Our plans in Newquay are part of a 20-year vision so we feel well-placed to weather any short-term market conditions."

The Duchy says that all three developments will aim to minimise carbon emissions by generating renewable energy on-site through biomass energy centres and maximising the energy efficiency of buildings. It is hoped that car use will be minimised by encouraging walking, cycling and the use of public transport.

The applications include plans for 200 homes and employment space for 30 jobs at Tregunnel Hill in the centre of Newquay.

The Duchy also hopes to build 300 homes, workspace for 360 workers and two new care homes at Quintrell Road, just over two miles east of Newquay town centre. The second phase for that site comprises plans for up to 200 hew homes with 20 live/work units and office space for 200 workers.

The plans have been welcomed by Councillor Patrick Lambshead, a former mayor of Newquay, who spoke at the Restormel meeting. He said: "At the moment we're short of accommodation and we're short of jobs. These applications will provide places to live and bring jobs with them."

Coun Annette Egerton, leader of Restormel Borough Council, said: "I was very pleased that the planning committee approved the Duchy planning applications, which will bring much-needed employment space and affordable family houses to Newquay."

Other planning applications for new housing did not meet with the same success. An application by Fortdown Ltd to build 117 new homes, business units, a community centre and hydrotherapy centre on West Road in Quintrell Downs was refused at the meeting on Thursday night. And an application from Kingsley Developers to build around 200 homes was deferred.