Ray Harmer, who was Minister for Infrastructure and a local MHK before he lost his seat in the 2021 general election, previously voiced his concerns about the sewage works before the plans were solid.
He said: ‘It’s a positive thing. It’s going to be in one of the furthest fields from the power plant.
‘Obviously, it’s going to take probably some time to actually get the planning through to get all the pieces together so it still could be a little way away, but this is a massive forward step.’
Plans for the site were revealed last week and will be built on three fields next to the power station and access to the site will be from Glenfaba Road.
The site will overlook Castleview Nursing Home, which is on Ballatessan Meadow, Peel.
Mr Harmer also said that his feelings were shared among the locals as well.
He said: ‘Just general relief that we’re finally moving forward because we have waited for a very long time.
‘It’s only a positive step. There were concerns back in the day that this would be an open plant, but this is a closed plant.’
Manx Utilities will submit a planning application for the works later in the year, now that ground investigations are complete with the data being analysed to inform the design.
Manx Utilities chair Tim Crookall MHK said: ‘There has been a great deal of work undertaken in the background to get us to this point in the scheme.
‘I am delighted we can now move on to the delivery of first-time modern sewage treatment for Peel.’
A previous plan for a sewage works in the area failed after Manx Utilities’ planning application for a site further south of Peel was turned down.