The "ag bag" composting process is favoured to solve the problem of disposing of sewage sludge from Wanaka's Project Pure wastewater plant.
The Queenstown Lakes District Council's infrastructure service committee this week approved an internal submission to the 2011-12 annual plan on the proposal.
QLDC solid waste manager Stefan Borowy said funds for the management operating budget would come from the Wanaka wastewater budget, from which $213,700 has already been allocated towards sludge disposal in 2011-12.
The "ag bag" composting system would work by composting sewage sludge from the plant with mulched green waste in long bags for six to eight weeks.
The resulting compost could be used by the council's parks and reserves team and in other projects.
Mr Borowy said the proposed composting facility would be sited at the Victoria Flats landfill, and the operation would be carried out by an additional part-time parks staff member.
The sludge was being disposed to landfill at a cost of $188.70 per tonne, but Mr Borowy said that cost would rise when the Emissions Trading Scheme started in 2013.
