THE leader of a campaign against a Newport incinerator plan says they are encouraged by the end of a project to burn waste in the Valleys.

Rob Hepworth, chairman of the Stop the Newport Incinerator campaign, said the writing was now on the wall for plants following a decision by Covanta Energy to scrap its £400 million scheme in Merthyr Tydfil.

It was one of three tenders considered for the controversial Prosiect Gwyrdd contract, leaving just two incinerator proposals in Cardiff and a former part of the Llanwern Steelworks, Newport.

Mr Hepworth said that campaigners now needed to make sure there was a similar level of opposition to the Newport scheme.

"We need to see if we can get planning permission refused for the Newport incinerator but we are hoping that Prosiect Gwyrdd will see that the writing is on the wall about big burn incineration," he said.

"The public doesn't want them and there are cheaper, safer and greener alternatives."

No planning application has yet been made for waste-firm Veolia's plan for the Llanwern incinerator.

Covanta said that a waste transfer station planned for Newport, which would have served the plant, may still be required.

Alan Morris, Lliswerry councillor, called on Newport cabinet members to state their position on the scheme.

A Prosiect Gwyrdd Spokesman, said: "Prosiect Gwyrdd has received confirmation that Covanta Energy has withdrawn from the procurement process.

"The procurement process was due to move to two bidders in December so the Project will continue to evaluate the competitive detailed bids submitted by Viridor and Veolia to deliver a sustainable solution to non-recyclable waste in South East Wales.

"The two remaining bids are strong and credible and the Preferred Bidder will be identified in Autumn 2012."

Newport council leader Matthew Evans, the Newport cabinet members on the Prosiect Gwyrdd joint committee, David Fouweather and Bill Routley or the Welsh Government would not comment.