Durham Crematorium wants to install turbines in two of its burners, which would use the heat generated during the cremation process to provide the same amount of electricity as would power 1,500 televisions.
A third burner is to be used to provide heating for the site's chapel and its offices.
The scheme would be the first of its kind in the UK but industry experts say that it could be followed by other similar projects.
Many crematoria are currently replacing their furnaces, to meet government targets on preventing mercury emissions from escaping into the atmosphere.
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