Cardiff Council is considering plans to build an in-vessel composter, which could be one of the first built in Wales.
The plan is currently being discussed by the council's executive and, if approved, could be built in two to three years.
A spokesman said: "Cardiff needs an in-vessel composting facility to meet its targets for 2007/8."
Composting these materials contravenes the Animal By-Products Regulations 2003, which were introduced following the foot-and-mouth crisis. Only by using an in-vessel composter can these materials be recycled.
However, the spokesman added: "We have a duty to inform residents of this law, but it does not apply to composting in householder's gardens."