Incinerator plan delay may lead to £1bn bill

Taxpayers would have to foot a bill of £1 billion in fines if a planned incinerator near Wolverhampton fails to get the go-ahead, council waste chiefs have warned.

Financial watchdog the Audit Commission has issued a report warning councils that take too long to deal with the growing problem of how to dispose of waste outside of landfill will saddle taxpayers with a massive bill for years to come. The news has reinforced Staffordshire County Council's drive for a new Energy from Waste plant at Four Ashes in South Staffordshire.

Earlier this month South Staffordshire Council returned the plans for the £122.4 million facility at Four Ashes Industrial Estate to Staffordshire County Council. It suggested it be reduced in size because of the "detrimental" impact the current proposals might have on the community.

Under the proposals the plant will burn 300,000 tonnes of waste and power 24,000 homes.

A planning decision on the controversial proposals is due in the autumn.

The Audit Commission report said investment in technologies that turn waste into energy or fuel would have the most significant impact on landfill reduction.

Despite a 200 per cent increase in recycling rates over the last decade, half of all municipal waste still ends up in landfill, producing methane, one of the most powerful pollutants.

Staffordshire's plans have already received £122.4 million of support from the Government and bosses said the project makes a major contribution towards the landfill reduction target.

The commission report said councils must push ahead with projects as a two year delay would cost up to £140 million in fines by missing the targets for 2013.

Staffordshire County Council deputy leader Robert Simpson said: "If we don't take action it's going to cost over £1 billion over the next 25 years as the costs of landfill spiral. We have got to push ahead to protect the people of Staffordshire."