The £800m development in the hills above Loch Lochy would see a five-year construction programme to build a dam, reservoir, underground power station and water tunnels.
Scottish Government ministers will now get the final say on whether the 600MW project for Coire Glas, near Spean Bridge, in Lochaber can go-ahead.
But with renewable energy being strongly promoted by the Government, power company Scottish and Southern Energy is expected to win backing for its ambitious hydro-electric scheme.