Sita is planning to turn 'end of life' plastics into diesel fuel. The company is set to unveil plans for the development of up to ten plants, the first of which is believed to be based in the London area. Other plants will be built at the rate of two to three per year, depending on planning consent.

Sita's plants will deal with up 60,000 tonnes of mixed waste plastic waste per year - around 17pc of the total – leaving the potential for many more UK plants to be built in future.

Pioneering technology

The pioneering technology, which has led to the development of the first commercially-viable plastic-to-diesel fuel, has been provided by the Irish company Cynar

David Palmer-Jones, chief executive of Sita, said pilots had already been tested successfully and Sita's first full-scale plants are expected to be profitable within five years of operation.

Markets

Sita doesn't expect to sell the fuel to domestic users but hopes instead to strike deals with local authorities and companies with commercial vehicle fleets such as hauliers and taxi firms.

Palmer-Jones said "There's a market need, it's environmentally-friendly, there's a saving on carbon emissions and it's cost comparable with regular diesel."

Europe

Sita now has the Europe-wide licence for Cynar's technology and therefore the potential to roll out more plants across the continent if they prove successful.