Construction of a new, $52-million waste water treatment plant for Murray Bridge will begin in August.
The current plant, located next door to the Long Island Marina, is capable of treating 2.6 million litres of sewage per day, all of which is recycled for use at the Department of Defence training area on the east side and nearby pastures.
The new plant will be located just off Pfeiffer Road at Brinkley, opposite the waste depot there.
It will be able to treat 5.6 million litres of sewage per day.
Improved treatment processes and odour control facilities will keep minimise the smell it will give off.
Contractors John Holland will build the new plant, an underground pipeline linking it to the city, and any pumping stations needed along the route.
They will also gradually decommission the existing treatment plant.
SA Water spokesman Matthew Bonnett said the move would benefit the community, the environment and his organisation.
"Since the existing treatment plant began operating in the 1970s, the population and needs of Murray Bridge residents and businesses have changed significantly," he said.
"We are updating our operations to align with community growth and activity.
"Moving the plant away from the River Murray floodplain and residential areas will improve its environmental performance by eliminating the current source of odour and the potential for discharge into the river during high flood events."
SA Water has been consulting the Murray Bridge council and residents of the Brinkley and Long Island areas about the move for several years.
"Understanding the views of the community was an important part of our planning process, and they were integral in selecting the new location for the treatment plant," Mr Bonnett said.
"We will continue this engagement as work progresses and will soon be discussing with stakeholders the future use of the existing waste water treatment site."
The new plant is due to begin operating in 2020.