The new owners of Battersea Power Station today unveiled plans to build a 300 metre "eco-dome" next to the London landmark as part of a planned conversion of the entire site that will cost £4 billion and take 12 years to build.

Real Estate Opportunities (REO), the AIM-quoted owner of Battersea Power Station, is proposing that the complex will include new homes, hotel and offices.

REO also plans to use two of the landmark's famous four white chimneys, that have lain dormant for a quarter of a century, to help power the new riverside flats through an energy efficient electricity generator installed in the station's basement.

In the meantime, REO will spend £150 million on keeping what is Britain's largest brick built building from falling down over the next few years while it pushes its proposals through the planning system.

Up to a year of public consultation on REO's plan lie ahead before the company can even submit a formal planning application.

It is unlikely that the scheme, if formally approved, will be completed before 2020.

The eco-dome has been designed by Rafael Vinoly, the architect who has designed the building planned for 20 Fenchurch St, known as the "Walkie Talkie".

The dome will contain offices, apartments and shops built around a huge central flue that should act as a natural cooling system.

The plans envisage using solar panels at the bottom of the flue to heat up air which in turn will create a convection flow of warmth that will rise to the top and, it is hoped, will suck in colder air from the bottom.

In total, REO plans to build 3,200 new homes for the site covering both the power station and the new dome.

Rob Tincknell, managing director at REO, said: "Climate change is the 21st century's most urgent challenge and has not been adequately addressed by the development sector. At times like these we are required to open our minds and take a big leap."

He added: "This will be a power station for the 21st century, sitting alongside Sir Giles Gilbert Scott's building and supporting a truly sustainable, zero carbon development."

REO, which is two-thirds controlled by Irish-owned Treasury Holdings, bought the Grade II listed building and surrounding land in 2006 for £400 million from the Hong Kong-based Hwang family.

REO decided that leisure complex plans devised by the Hwangs were not viable.

Treasury is owned and run by Johnny Ronan and Richard Barrett, Irish property magnates.

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