But the landowner says it is in his interest to ensure the health of the land.

Conhur Pty Ltd has proposed the facility on the expansive Dunedin farm property at St Leonards, where it could process up to 5000 wet tonnes of biosolids from Ti Tree Bend with 5000 tonnes of wood pin chips per year as part of an integrated statewide biosolids management program.

Coronavirus: All the latest updates on COVID-19 for Tasmania

The process involves aerating unstable biosolids in windrows.

Two nearby residents said they had received notice of the plans but others had not, with the closest residential premises 1.2 kilometres away.

A group of residents met at the nearest property on Saturday morning to discuss their concerns with independent Windermere MLC Ivan Dean, who is seeking answers from the state government, City of Launceston and TasWater over the plans. The development application was released for public comment by the council last month, but was then taken down due to clerical errors.

Josh Adams, who owns the nearest property, said the facility was located near three waterways - Distillery Creek, St Patricks River and the North Esk River. The creek runs along the boundary of his property.

A pile of wood chips was placed at the site 18 months ago, within clear view of Mr Adams' property, which he says gives an indication of the impact the facility could have.

Mr Dean said other waste management facilities in Tasmania had been built with greater buffers to residential properties.

IN OTHER NEWS:

"So far this has been handled miserably," Mr Dean said.

"Normally, with a project like this, we would be advised about it. I've received no advice on this whatsoever."

The environmental impact statement, submitted as part of the development application, states that Dunedin was chosen "due to its size and suitability for biosolids application", along with its proximity to TasWater's sewerage treatment plants and Forico's Longreach timber operations.

Surface water runoff and leachate will be directed into a sump, or pit, on the downslope corner of the compost pad, then pumped to a dam with a 200 to 400 millimetre bunding wall.

Managing the impact of odour and groundwater runoff were described as "key issues" in the design of the plan, but environmental consultants Macquarie Franklin found the risks were minimal.

"The proposed planning measures and commitments demonstrate that appropriate management measures can be implemented to minimise any potential impacts or risks to public health and the environment. As a result, no significant environmental impacts are expected," the statement reads.

Dunedin owner Marcus Griffin - who is leasing out the portion of land - said that as the owner of farming land, it was in his interests to keep the area free of contamination.

"We want to be focused on clean, green food production. We won't allow any contaminants to come here. It's a regenerative agricultural practice, using a resource that has an enormous amount of carbon to aid the fertility of the land," he said.

Conhur planned to dispose of biosolids that contain heavy metals at another site.

The City of Launceston could not comment as it was still at the development application stage. Public comment is open until May 25.