TWO applications to run a new North-East commercial radio station will be debated this week.

Communications regulator Ofcom is advertising for the FM licence for Durham City and the surrounding area, including Spennymoor, Chester-le-Street and Bishop Auckland.

Ofcom estimates it could reach about 160,000 people, but said it was unlikely to approve proposals that try to reach further. The broadcast area will also be governed by technical issues such as the siting of the transmitter.

So far, two groups said they will bid, both of which have made two temporary broadcasts. Durham FM is part of The Local Radio Company, which also operates Sunderland's Sun FM and Darlington's Alpha 103.2.

Durham Local Radio is a consortium that includes Newsquest North-East, the publisher of The Northern Echo and The Advertiser series.

The deadline for applications is January 6.