EPA Victoria has approved a development licence permitting Western Composting Technology Pty Ltd (WCT) to build a facility on Wallenjoe Road, Huntly, near Bendigo.
The proposed facility would compost up to 30,000 tonnes of food and garden organics (FOGO) a year for sale to the public.
The licence allows construction under strict conditions overseen by EPA. The company will also require planning permission from the Council, and then a separate EPA licence to operate the facility once construction is complete.
In considering the licence, EPA held a community consultation session in May 2024 and took into account concerns about air, odour, surface water and waste volumes, concluding that the proposal includes the best available technology and does not pose an unacceptable risk to human health or the environment.
The licence requires the company to have an EPA-approved environmental management plan, and the commissioning must include monitoring of dust, odour, noise and groundwater, as well as sampling and testing of the finished product.
EPA's Head of Permissioning Angela Grozos says the assessment was based on the best available science and technical reviews of similar facilities.
"EPA will continue to regulate the site to ensure it meets its licence conditions," she said.