The proposals, for the former North Selby Mine site near Escrick and Wheldrake to the south of York, would see organic waste fermented to produce gas which in turn would be burned to create electricity. The unit would also produce fertiliser.
According to energy developer Peel Environmental, the unit would be developed alongside a glasshouse facility which would use the heat and some of the electricity generated by the anaerobic digestion facility for its operations.
Peel said the facility would be capable of producing 1.5MW of heat and up to 2.75MW of electricity using up to 60,000 tonnes per year of organic and agricultural waste.
Richard Barker, development manager at Peel Environmental said: "If built, our scheme could help City of York Council to make positive reductions in carbon emissions, which will contribute to the authority’s ‘green’ credentials. The development would provide a carbon saving of around 20,000 tonnes of CO2 per year."
Peel said it anticipated that a decision on the scheme would be made early next year and, if successful, it could be operational by March 2015.
Local campaign group North Selby Mine Action Group is opposing the plans on a number of grounds, including concerns about additional vehicle movements and that the site lies within the green belt.
Consultancy Barton Willmore is acting for Peel Environmental.