The government has given the go ahead for opencast mining in Leicestershire despite intense opposition.
The county council had turned down an application to mine at the Longmoor Opencast Coal site near Ravenstone after lobbying from nearby residents.
A council spokesman said it feared the move would create unacceptable disruption and pollution.
But UK Coal said the site contained tens of millions of pounds worth of coal and would create local jobs.
Councillor David Parsons, leader of Leicestershire County Council, said: "We will essentially have a large industrial site where there are residential areas.
"We will have heavy traffic on roads which I do not think are suitable for the transportation of coal.
"And I think the noise and pollution levels will be unacceptable for people who want to live in peace."
Stuart Oliver from UK Coal, the company behind the development, believes it is a good scheme.
He said: "While there may be a short term intrusion on the lives of some people, we will hold to our promise to be a good neighbour.
"We will set up a liaison group and once this gets underway, I think people will find we are not going to ruin their neighbourhoods."
Mr Oliver said work at the site would start in either the autumn or next spring and was likely to last for four years.