Grosvenor Waste Management are to boost the Peterborough Materials Recycling Facility (MRF) in a £480,000 move aimed at improving efficiency.
Peterborough City Council environmental management section head Paul Pace said: "This deal will provide us with a 'next generation' MRF capable of achieving the council's long-term objectives for sustainable recycling."
The company will seek to install new equipment every year to increase the sorting process, regulate the flow of material and help separate different types of material. It will also add facilities to recycle glass bottles and jars.
The company already work with a number of local authorities and divert some 500,000 tonnes of material away from landfill each year. With new opportunities arising all the time, they believe their innovative approach will lead to many more link-ups.