Gloucestershire County Council had already signed a 25-year contract with Urbaser Balfour Beatty (UBB) to build the energy-from-waste plant at Javelin Park, close to junction 12 of the M5.
The authority said its chosen method had been proposed by Urbaser Balfour Beatty (UBB), as the council did not have a preferred method, or technology, for the job.
It also denies claims a penalty fee will be paid to UBB should planning permission fail, saying a cap is in place on expenses UBB can claim "but only if the planning process has been exhausted and UBB has done its best to get planning".