THE National Eisteddfod of Wales is returning to Monmouthshire - after nearly 100 years.

The Eisteddfod Council unanimously decided to accept the county's bid to host the event, saying it was impressed by the enthusiasm shown by the community and council.

But Monmouthshire county council will not know until the spring whether Europe's biggest cultural event will be held in the county in 2010 or 2012.

Despite being probably the most anglicised region of Wales, it is no stranger to the festival - in 1913 the Eisteddfod was held in Abergavenny.

The Gorsedd stones used on that occasion now have pride of place in Swan Meadows public park, where they were moved last March from private ground.

The dilemma facing the council now is where to stage the event - Abergavenny, Caldicot, Chepstow or Monmouth. Each town is keen to be the one to benefit from the estimated £6 million income from the 150,000 -200,000 visitors.

Newport is hosting the National Eisteddfod festival in August 2004, when local government, sponsorship and grants will cover most of the projected £2m cost.

Gwent people must also raise £230,000 for the 2004 event by forming several organisational committees to meet a fundraising target.

Ffion Gruffudd, the council's Welsh-language and tourism officer, said: "Everyone is thrilled, there was great excitement when the letter was received.

"There is more excitement coming from this area than any Welsh-speaking area in which I've worked in the past.

"We are well ahead of schedule in submitting our bid and we will now concentrate on helping Newport with the 2004 Eisteddfod, then we'll contact local societies and voluntary groups to see if we can further our ideas."

The council's chief executive, Elizabeth Raikes, is already learning to speak Welsh on a course in County Hall that she has organised. Council leader Councillor David Waring said: "This is wonderful news for the whole of Monmouthshire.

"Hosting an event as prestigious as the National Eisteddfod gives the county the chance to demonstrate its Welsh heritage and develop its already significant cultural activities.

"The eisteddfod can also give our local economy a huge boost as we can showcase our spectacular county and unique market towns to the 200,000 expected visitors."

* In the picture: Llanover Reel Dancers Richard Jeremiah and Sally Williams, both 11, at Abergavenny Castle.