Downer Group will start work later this month replacing its Teralba asphalt plant with a facility set to use recycled material in asphalt production.
The new plant will recycle waste, turning soft plastics, glass and toner from used printer cartridges into pellets, which will be used in asphalt.
Lake Macquarie City Council approved the plan for the $8 million plant in July.
The facility will produce about 160,000 tonnes of asphalt a year, depending on market demand, which will be used in the Lake Macquarie local government area as well as neighbouring council zones.
It comes after Lake council started using recycled crushed glass in its civil works projects earlier this year.
“It’s exciting to know we will be one of the first places in NSW to produce this new, sustainable asphalt, using materials that would once have been considered waste,” council’s sustainability manager Alice Howe said.