A fire at the Lismore Recycling and Recovery Centre that started early yesterday morning could smoulder in huge piles of green waste for weeks.

Lismore City Council has yet to assess the damage caused by the fire which spread from the compost to the Materials Recovery Facility building where recyclable materials including plastics are processed utilizing extremely expensive plant and equipment.

It’s believed that the “combination of the pasteurising compost and strong winds set the compost piles smouldering”.

A NSW Fire and Rescue spokesperson said the first call was received at 12:44am yesterday and crews arrived to find the two-level industrial shed “well alight”.

“The fire was extinguished on a conveyor belt at 1:36am and firefighters worked to protect the fire from spreading to the office block,” the spokesperson said.

The materials recycling facility before the fire. PHOTO: Supplied.

NSW Fire and Rescue was supported by the Rural Fire Service and council workers as they worked to extinguish the fire in the plastic and mulch waste.

An excavator was used to break up the waste and isolate the burning material from the rest.

As toxic smoke from the fire billowed from the fire yesterday, the council issued a warning to residents who could smell it to stay indoors and free respirator masks were made available at Bunnings.

With at least nine crews from as far afield as Brunwick Heads working on rotation, the fire was contained by yesterday afternoon.

Dozens of firefighters battled a blaze at the Lismore Recycling and Recovery Centre yesterday. PHOTO: Supplied.

However, it’s expected to continue to smoulder in the estimated 100 tonnes of green waste.

"It could take a number of weeks to completely extinguish," the NSW Fire and Rescue spokesperson said.

"With around 500 square metres of green waste smouldering, the wind is causing the odd flare up but there's no real danger."

A statement from the council this morning said residents affected by smoke from the fire are being advised to stay indoors or use a respirator if venturing outside.

“The fire occurred in the early hours of Sunday morning in the compost piles and the Materials Recovery Facility where recyclable materials including plastics are processed,” the statement said.

“It is believed the combination of the pasteurising compost and strong winds set the compost piles smouldering, which later ignited the Materials Recovery Facility building.

“No-one was injured in the incident but smoke from the fire could potentially be harmful to people with respiratory or lung problems, and residents that can smell or see smoke are urged to stay indoors with windows and doors closed until the smoke subsides.

“People with asthma who can see or smell smoke can collect free respirators at the Bunnings trade desk by showing ID with a residential address within or around Lismore.”

Nearby schools such as Wyrallah Primary School were unaffected today.

The council statement said the Lismore Pound was unaffected by the fire and the animals in care are unharmed, with staff monitoring their safety and wellbeing.

Waste collection will continue as normal however there may be delays to pick-up times and residents are urged to be patient and leave bins out until they are emptied.

“The Materials Recovery Facility is currently inoperable and needs to be assessed for damage,” the statement said.

“This assessment is unable to take place until the fire is fully extinguished and the site can be safely inspected.”

While the facility is out of action, the council will transport waste to other facilities in the Northern Rivers and Queensland.

The Lismore Recycling and Recovery Centre and the Lismore Rainforest Botanic Gardens will remain closed until further notice.

The Brewster Street Drop-off Centre has been temporarily closed as skips are currently full. It will be reopened on Wednesday.