Firefighters have extinguished a blaze at the recycling facility in Gungahlin, after black smoke billowed over the area on Thursday morning.
They were called to the fire off of Flemington Road in Mitchell on Thursday morning, with motorists reporting large amounts of smoke in the area.
Fire and rescue crews remain at the scene, ensuring the area is safe.
Smoke from the fire is no longer a hazard to the community, the ACT Emergency Services Agency said in a statement.
"If you are in the immediate area you can resume activities outdoors."
It was not the only smoke in the sky above Canberra on Thursday.
Smoke from a hazard reduction burn was spotted drifting over west Tuggeranong on Thursday morning.
The smoke is likely from a private land owner conducting the burns, the ACT Emergency Services Agency said.
Hazard reduction burns on public land are being undertaken at Riverlea and Tidbinbilla Road at Paddys River.
There are a range of ways to protect yourself against smoke from controlled burns, according to the Australian National University.
Staying indoors, closing doors and windows and filling gaps with towels and tape, can be the best way to avoid poor air quality caused by smoke.
Outdoors, people should don P2/N95 face masks, and avoid strenuous physical activity.
Those with heart of lung conditions should ensure they have adequate supplies of medication and follow any asthma or medical plans.
Anyone having difficulty breathing, wheezing and/or tight chest should seek urgent medical attention.
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