The move will be a blow for Bam Nuttall who were lined-up for the £35m civils package on the job when the scheme was first given planning permission in 2012.

The plans by developer Cory Wheelabrator were called-in by local government secretary Eric Pickles and are still in limbo following a swathe of local opposition.

Council officers are now recommending that the contract is terminated at a cabinet meeting next week at a cost of £30m.

They said the scheme’s value for money has “reduced with each week’s delay as costs rise and the contract payback period is shortened.”

Officers added: “This continuing delay comes on top of the Government’s decision last November to withdraw a Waste Infrastructure Grant for the project worth £169m over the lifetime of the contract.”

Leader of Norfolk County Council, George Nobbs, said: “The officers’ recommendation is clear and unambiguous, and it is my intention, after listening to the views of the whole Council, to recommend that Cabinet acts upon that advice.

“When Council in October voted for continuation of the contract, that was on the basis that it still represented good value for money.

“However, that was based upon accepting the Secretary of State at his word when he said he would give his decision on the Planning Inquiry ‘on or before 14 January.’ Mr Pickles’ decision – or rather the total lack of it – has been the real game-changer, and has made a nonsense of Government rhetoric about speedier decisions on major infrastructure projects.”

Earlier this month, the Government’s own UK Green Investment Bank committed to making an investment of £51m into the project.

Chief Executive, Shaun Kingsbury, said: “Not only will this new facility prevent over a quarter of a million tonnes of waste being sent to landfill each year it will also generate enough electricity to power over 40,000 homes a year.”

The scheme was expected to create over 1,000 jobs during the 32-month construction phase.