Environment and conservation department (formerly known as the Environment Protection Agency) officer John Dengate said the preliminary results from Blue Circles limited trial were "pretty good", but said the department wanted more information before reaching a final verdict.

"Dioxins are a concern all over the world, and current world standards are 0.1 nanograms for every cubic metre of output," Mr Dengate said.

"The gas coming out of the Berrima plant during the trial was registering 0.01 nanograms, which is a tenth of the international standard."

Mr Dengate said he wanted more information about the quality of the tyres being burned and the amount of dioxin-producing carbon in them, the pollution controls in the kiln, where the fumes from the kiln end up and the concerns in the community about the scheme.

Works Manager Ian Unsworth has criticised the "politicisation" of the company's alternative fuels program by local environmental groups.

Mr Unsworth said groups led by Cr Larry Whipper and council candidate Jim Clark were misrepresenting the issue to the community and using it as a political football.

A new group known as Residents Against Dioxins has formed to fight the plan to burn used car tyres in the kiln at the cement works as an alternative to coal.

The have distributed leaflets to the new Berrima Community and called for residents to join them in opposing what they described as a "toxic waste incineration".

Mr Unsworth said using such a term as both misleading and untrue. Mr Dengate said the term was not correct, adding the emissions produced by tyres burnt at very high temperatures with pollution controls were not considered toxic.

"We have applied to the proper environmental authorities for a license approval to use alternative fuels in our high temperature cement kiln," Mr Unsworth said.

"If the environmental authorities say we can go ahead, then the public should be confident that the use of alternative fuels is entirely safe.

"It will also reduce emissions of greenhouse gasses from burning of coal and safely reduce toxic land fills of car tyres."

RAD spokesman Peter Lack-Newinsky said dioxins ruined health at minute levels, and many researchers maintained there were no safe levels of exposure.

"Dioxins do not go away, they accumulate up the food chain," he said.

"We already have high levels in our bodies.

"Workers, and their children, pregnant women, infants and the elderly would be particularly at risk."