Innova Soil Technology plans to establish a soil-remediation plant on the Dow Chemical site, with the capability of handling 2000 tonnes each week.

Hobsons Bay Residents' Association co-convener Colin Palmer said the community was vehemently opposed to the development.

"Residents believe a permanent facility of this nature should be located in a rural area away from residential homes," he said.

"This site is only 900metres from homes, close to the city, on the edge of one of the busiest highways in Melbourne and on the Melbourne side of one of the biggest residential growth corridors in Australia.

"We're not opposing the actual cleaning of sites; we're happy for [Innova] to come in, clean the site, but then move on.

"The petition is to prevent a permanent site which will be turned into a dumping ground because Innova plans to bring soil from all over Victoria and dump it here."

Innova has initiated proceedings at the Victorian Civil and Administrative Tribunal in a bid to bypass Hobsons Bay Council. It will argue that its operation is petrochemical, not industrial, and therefore does not require a planning permit.

Process supervisor and engineer Antony Taylor said: "Innova will continue with its wide community consultation on every aspect of the proposed centre for soil remediation in Altona and, as such, we again encourage everyone interested in finding out more information on our proposal to visit the independently hosted website at www.innovacleanso ilproposal.com.au".