The first thorough environmental analysis into wave power is to be completed by the University of Plymouth.
Tests have been conducted to see what impact renewable energy sources such as wind power have on the environment, but this is the first time that electricity generated by the sea will come under scrutiny.
Funding has been granted for the Europe-wide study by the EU and the project is expected to take three years, with results being released at various stages.
Research assistant Ruth Leeney told BBC News that the work would be done in line with EU environmental legislation.
"There is no data at the moment to show us the impact of wave energy projects on the environment - it's too early in the development of the industry," she told the broadcaster.
Last week, Tidal Energy announced it would manufacture its DeltaStream equipment, which will be used to create electricity from waves off the Welsh coast, after the EU stumped up £6.4 million in funding.
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