The Department of Infrastructure is to enter into a covenant with German Parish Commissioners over the use of land near Poortown Quarry as a temporary store for silt from Peel marina.
An agreement will be put in place for the specially engineered facility to be used as a storage solution for no longer than five years.
It's also confirming that the site will not be used as the location of any permanent problematic wastes store that may be needed to meet the Island’s long-term waste management needs.
The move follows a public meeting at St John's on Thursday evening at which the proposal had overwhelming support.
Representatives of the DOI and Department of Environment, Food and Agriculture will invite German and Peel Town Commissioners and local politicians to regular operational liaison meetings during the dredging and haulage works and a monitoring committee will be set up to run throughout the life of the storage facility.
However, after further assessment the department says the work to remove around 18,000 tonnes of silt from Peel harbour will continue.
There had been a vote at Thursday's meeting calling for a moratorium to halt the operation.
But the department says it will install more fencing around the storage site, improve wheel washing facilities for lorries being used . . and publish the results of fortnightly water testing.