The agency received 685 comments during its consultation on the project but claimed it “could not find any evidence that would cause us to refuse the permit variation application”.
The variation means that the Energy from Waste (EfW) project is on track to be operational in 2030.
The site is located near Portland Port and has faced controversy and legal challenges as the development has progressed.
Giles Frampton, Director of Powerfuel Portland, said: “The project has now successfully cleared all planning and environmental permit requirements.
“Positive commercial discussions are progressing with a number of parties and the company expects to make further announcements later this year confirming the timeline for delivery of the project. ”
In May 2026, Powerfuel Portland confirmed that the £180 million Portland Energy Recovery Facility (ERF) in Dorset has secured “commercially confidential” waste supply arrangements.
It was confirmed in November last year that the project was set to move forward after the Court of Appeal unanimously upheld planning permission for the project.
The ruling, delivered by three judges, dismissed an appeal brought by the Stop Portland Waste Incinerator (SPWI) campaign group, concluding that the Secretary of State had provided adequate explanation for granting approval.
The decision was in line with the government’s move in September 2024 to overturn Dorset Council’s refusal of the application.
The Stop Portland Incinerator Campaign (SPIC) said it was “devastated” by the Environment Agency’s decision, arguing that the concerns raised by hundreds of local residents had been overlooked.
It alleged that the majority of the 685 consultation responses set out detailed objections to the expanded waste categories and the potential impact on the surrounding community.
SPIC maintains the facility is unnecessary, poorly located, and poses risks to the health and wellbeing of people in Portland and the wider Weymouth area.
Despite the latest setback, the group said it would continue to oppose the project through the final consultation process and monitor its progress closely.
£180 million investment
Set within Portland Port, the ERF is expected to process up to 200,000 tonnes of household, commercial and skip waste each year.
The investment in the facility is estimated at over £150 million, rising to £180 million when fully delivered.
Portland Port has previously described the ERF as “vital to this port’s future,” noting that the development would help enable shore power for visiting cruise ships.
Following the latest update, Powerfuel Portland has said that it will now look to appoint an Engineering, Procurement, and Construction (EPC) as the final stage before groundworks begin.
The energy company said that discussions with possible construction partners are “progressing well” and expects to make further announcements regarding the start date and construction timeline later this year.
