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KITAKYUSHU (Kyodo) Nippon Steel Corp. said Monday it will conduct tests starting in April 2007 aimed at using garbage to produce ethanol, which can be mixed with gasoline, to help reduce carbon dioxide emissions.

The steelmaker will work with the city of Kitakyushu and Kyushu Institute of Technology on the project, which is sponsored by the New Energy and Industrial Technology Development Organization, a semigovernmental agency.

Nippon Steel will build a test facility in Kitakyushu, at a waste-fueled power plant to produce 397 liters of ethanol from 10 tons of garbage daily.

Heat from the power plant will be utilized to speed up the fermentation process and extract the ethanol.