An energy from waste facility operated by FCC Environment has been given permission to increase the amount of waste it burns by an extra 40,000 tonnes per year.
The Environment Agency has said the Eastcroft facility in Nottingham could open on extra days allowing it to increase its current 160,000 tonne capacity.
At present, the facility provides heat to 4,600 homes in Nottingham as well as to a number of businesses. It has been in operation since 1998.
A spokeswoman for the Environment Agency said: “The additional days in which the plant operates means it is able to accept waste which would otherwise go to landfill.
“If it is able to operate for more days due to increased waste throughput, this will allow more heat and steam to be sent to the district heating scheme.
“The waste used to power the scheme is a cheaper alternative to gas, which has to be used when the plant shuts down.
“We have taken into account all relevant considerations, comments from the public, and legal requirements.
“We are now confident that a high level of protection is provided for the environment and human health.”