The joint venture developed by the Pact Group, Asahi Beverages and Cleanaway Waste Management to process about 28,000 tonnes of plastic bottles and other recyclables annually was originally announced in February this year.

The NSW government has confirmed a $5 million grant towards the project.

"I congratulate the joint venue partners on the grant and welcome their decision to base this important recycling facility in Albury," member for Albury Justin Clancy said.

IN OTHER NEWS

The council has also confirmed the facility will be built at the Ettamogah industrial hub it has been trying to develop for nearly a decade subject to final planning approvals.

"Confirmation that the plastics recycling plant will be built at Nexus, subject to development approval, is fantastic news as we look to further develop Nexus as a major 24/7 manufacturing, transport and logistics hub for the region, that will ultimately employ thousands of people and bring enormous growth to our economy," Albury mayor Kevin Mack said.

"Coupled with funding for the Davey Road interchange works, the plastics plant will be a driving force in that growth and we're very excited to welcome the developers to the site."

The go ahead for the Davey Road interchange came during last year's federal election.

In 2015, the council decided to forfeit a guaranteed $7 million from the federal government when it baulked at covering a funding shortfall.