Councillors will vote today at the Policy and Resources Committee.
The Council says the investment would help DERL increase productivity and secure future work streams. It is claimed the investment would be paid back to the Council over a five year period.
The vote follows a fire at DERL earlier this year. Insurers agreed to fund the reinstatement of the plant, and now the City Council is proposing a further £7.94m boost to provide further improvements.
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Leader of the Administration Ken Guild said: "I am very pleased that the jobs of the employees at DERL have been saved and the redundancy process has been halted.
"The fact that DERL’s insurers have agreed to pay the full costs to cover the reinstatement of the plant has been a huge boost to the future of waste disposal in the city.
"The operators of the plant want to use the reinstatement period between now and August next year to make further improvements that will deliver increased efficiencies and profitability going forward. These mainly relate to the two boilers in the plant.
"Across the country, councils have been wrestling with the rising costs and environmental impact of landfill. This extra investment would help secure DERL’s position as a leader in the next generation of waste disposal that minimises the need for landfill."
(IT)
