Cabinet Members at both councils will consider the recommendation at meetings on 23 September 2026, following a review of the project launched in May.
Officers from the two councils have concluded that decommissioning the Derby and Derbyshire Waste Treatment Centre and seeking alternative long-term arrangements for the treatment and disposal of household waste would best protect council tax-payers.
The review followed the conclusion of a procurement process which failed to identify a contractor willing to fix and operate the facility on terms the councils considered sufficiently protected against future costs and risks.
In a joint statement, Derby City Council leader Councillor Nadine Peatfield and Derbyshire County Council leader Councillor Alan Graves said the councils had taken a “measured and evidence-led approach” since taking office, adding that the review had considered “every realistic option”.
They said: “The review suggests further commitment to the project can no longer be justified on commercial, financial or risk grounds.”
The councils said there would be no disruption to residents’ waste disposal services as a result of the recommendation.
Alternative arrangements for waste treatment and disposal have been in place since 2019, with the councils saying they have planned for a range of potential outcomes.
If the recommendations are approved, the councils will begin planning for the decommissioning and disposal of the facility, while also making arrangements for waste and recycling services beyond the end of their current contracts, most of which expire in October 2027.
£147 million spent
The councils said total expenditure on the project to date stands at £147.33 million.
Should Cabinet Members approve withdrawal from the project, the councils will apply to the Government for this expenditure to be treated as capital expenditure in accounting terms.
The review considered a number of options for delivering the work needed to rectify the facility, including options which had previously been ruled out.
However, the councils said the evidence gathered during the review showed that decommissioning the facility provided the best balance of cost, risk and deliverability.
Procurement collapse
The latest review follows the collapse of a procurement exercise intended to identify a partner to repair and operate the Sinfin facility.
The process formally ended in April 2026 without a contract being awarded. Biffa and Thalia had previously been shortlisted and invited to take part in competitive dialogue, but neither ultimately submitted a final tender.
The councils said the procurement process had indicated that the technology at the facility was viable and that the site could be repaired, but agreement could not be reached on commercial terms.
At the time, the councils said they would not extend the procurement process or continue negotiations and would instead carry out a rapid review of the project’s future.
The facility had previously been expected to be commissioned in June 2028, following the procurement process which was launched with the intention of appointing an operator and contractor.
Venture began in 2009
The two councils jointly own the Sinfin waste treatment centre and reaffirmed a commitment first made in February 2023 to work together to bring the facility into operation.
Under the procurement timetable, bidders were shortlisted in February 2025, with a contract expected to be awarded by December 2025.
The facility had been due to be commissioned in June 2028.
The Sinfin plant has faced a long history since Resource Recovery Solutions (RRS) – a joint venture between Interserve and Renewi – signed a 27-year contract worth around £900 million with the councils in 2009.
The agreement included operating the 190,000 tonne-per-year waste treatment facility in Derby.
However, the councils terminated the contract early in August 2019 following a series of operational problems at the plant, including excessive odours and technical faults.
At the time, both authorities said it would be “more cost-effective for Derby and Derbyshire council taxpayers” to pursue alternative arrangements for managing household waste over the following decades.
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