Cemfuel was introduced at the Ribblesdale works in Clitheroe in 1992 but withdrawn from kiln seven two years ago following concern about the haze and smell around the site. A £5 million gas cleaning system has since been installed which Castle Cement says addresses the issue of plume grounding Ñ where smoke comes to ground level Ñ and reduces emissions of sulphur dioxide by more than 90 per cent and dust by more than 50 per cent.
The company has now applied to the Environment Agency for permission to reintroduce the fuel to kiln seven.
The company has confirmed that the Cemfuel feed to kilns five and six will be disconnected when the fuel is back in use on kiln seven.
Lynda England of Residents Against Toxic Substances and Friends of the Earth said: "Kiln seven has never run on its own without kilns five and six so how can they tell if the plume grounding has been stopped?" If the Environment Agency gives Castle Cement the go ahead to use Cemfuel, six months of trials will start in the spring.
Castle and the Environment Agency will carry out wide public consultation and information programme as part of the application.
Mrs England said: "In order to tell if the plume grounding problem has been solved that kiln should be tested over a 12 month period in all weather conditions. I think a public meeting should be called to let local residents air their views."
The Environment Agency plans to consult the local council, the Health and Safety Executive, East Lancashire Health Authority, parish councils, local MPs and environmental groups for their views .
The public are also invited to take part in the consultation process, and all written responses must reach the Environment Agency by Thursday January 14.
Castle Cement has planned an exhibition at St Mary Magdalene's parish church hall on January 7 from 11am to 8pm, and a newsletter will be sent to residents.
Chris Smith, Environment Agency Industry Regulation team leader, said: "The public can be assured that the Environment Agency will assess the application thoroughly. No decision will be made until everyone with an interest has had ample opportunity to put their case."