Council staff were working near the Morwell Traffic School yesterday morning, when they noticed a strong chemical odour.
Authorities were notified, and emergency services attended while police blocked off access to the area near Waterhole Creek.
A bag of acid concentrate, used for chemotherapy dialysis was found on the footpath along the creek.
The bag was empty when found, but was emitting a strong odour.
The bag was secured, and the EPA are investigating if any further action is required. The origin of the bag was unknown.