A full-scale plant capable of handling more than 400 tonnes of waste a day should be built using waste-to-energy technology being demonstrated at Ottawa's Trail Road landfill, city staff have recommended.

City manager Kent Kirkpatrick and Rod Bryden, CEO of Plasco Energy Group, the company that sells the plasma gasification technology, presented their plan to the media on Tuesday.

Under it, the full-scale plant would be built entirely at Plasco's expense at the Trail Road site. In return, the city would pay the company $8 million a year to take its garbage.

The plan will go to city council for approval on July 1.

Plasma gasification is a process that decomposes waste under high heat and low oxygen into a gas mixture called syngas, and a glass-like material that can be turned into asphalt or concrete. Without oxygen, the waste does not burn. Other leftover materials, such as sulphur, chlorine and heavy metals, are separated for disposal.

Construction on the $27-million demonstration plant on Trail Road started in 2006 as a joint project between Plasco and the City of Ottawa. The plant produced its first watts of power in February. At full capacity, the plant should be capable of diverting 85 tonnes of waste a day from the city's landfills while generating enough electricity to run the facility and power 3,600 homes.

As part of the deal for the full-scale plant, if council endorses construction and Plasco can work out similar contracts with other municipalities, the City of Ottawa could get up to $3.5 million a year in marketing fees, Bryden said.

"The reason that that was established two years ago was to recognize that an early adopter, especially a quality city like Ottawa, gives confidence to other people who aren't as nearby."

The city would lose the fee if it holds off on the plant for now.

The City of Ottawa sends 800,000 tonnes of waste to landfills every year.