"We are considering the decision, the grounds for the refusal, and a potential legal challenge," a spokesperson said in an emailed statement.

"We believe our application for a Development Consent Order to be accurate and robust, and it has met all the requirements. We will continue the development of AQUIND Interconnector, and we will be engaging with the relevant parties in the coming weeks."

(Reporting by Guy Faulconbridge and William James; editing by Michael Holden)