A PROPOSED wind farm near Kingaroy is a step closer to reality, with construction tipped to start as early as next year if it is given the green light.

The $500m Coopers Gap Wind Farm at Cooranga North would now move to an Environmental Impact Statement with public consultation, Minister for State Development and Minister for Natural Resources and Mines Dr Anthony Lynham announced on Tuesday.

"AGL Energy Limited has said the project could create up to 350 construction jobs and ongoing employment for up to 20 people in the region," Dr Lynham said.

"Depending on the Coordinator-General's evaluation, construction could start in late 2017 and take two and half years, making it operational by 2020.

"Our strong renewable energy agenda is clearly encouraging private sector investment in renewable energy.

"If AGL proceeds, this would be one of Australia's largest green energy producers, and support our policy to generate half of Queensland's electricity needs from renewable energy by 2030."

Dr Lynham said the wind farm could potentially supply 180,000 households from a proposed installed capacity of about 350MW and up to 115 wind turbines.

Dr Lynham said public consultation was an "integral element" of the environmental impact statement process.

The proposed site is located between Dalby and Kingaroy.

For more information visit www.dsd.qld.gov.au