A stockpile of 800,000 tyres at a Longford storage site would be shredded and turned into tyre chips under a proposal to clear the facility by 2020.
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The plan is the latest solution proposed to dispose of the tyres, collected from retailers across the state.
A shredder would turn tyres into 50mm chips for sale or processing into rubber products.
Tyre recycler Tim Chugg said the fate of the plan to clear the stockpile was in the hands of Northern Midlands Council.
“If they are serious about having it resolved, they’ll need to have a pretty good look at how they handle this.”
Mr Chugg said there were outlets interested in taking the shredded product. Mayor David Downie said he welcomed the application, but wanted to see the proposal before deciding his vote.
“It has to go through the approval process, but at least we’ve got an application.”
Mr Chugg wants to shred 30 tonnes of tyres each day, a figure including 12 tonnes of new tyres delivered on site once the shredder is operational.
The facility’s current permit doesn’t allow it to receive new tyres after December, however this will be necessary to make the shredding proposal economically viable, according to an environmental report received by the Environment Protection Agency Tasmania.
Tyre Recycle Tasmania is expected to have a stockpile of 11,500 tonnes by December. Green Distillation Technologies Corporation has not progressed an alternative plan to dispose of tyres using destructive distillation, according to the environmental report.