Norfolk County Council has officially ended its contract with Cory Wheelabrator to build a waste incinerator at King's Lynn.
The authority believes the costs associated with breaking the contract have now risen by more than £3m to a total of nearly £34m.
Those costs include around £21.9m for the contractor's costs and the council's share in a public inquiry, as well as "hedging arrangements" which have been affected by interest rates and exchange rates.
Councillors voted to scrap plans for the controversial incinerator last month following delays by the government granting planning approval.
George Nobbs, Norfolk County Council leader, said: "This final figure for the 'hedging' element of the contract is more than we would have hoped it would be, but it has to be found, and will be found.
"None of this has been easy but the County Council will cope and come through this."
The cost to the people of Norfolk over the shock decision to pull out of plans to build a waste incinerator at King's Lynn, has been revealed.
Norfolk County Council will be forced to pay huge financial penalties as it prepares to officially scrap the project next week.
A series of Government delays in giving planning permission for the incinerator threatened to push the penalities for dropping the scheme, higher and higher, giving the council no other choice but to pull out.
Pulling out now leaves Norfolk County Council facing a bill of £30.26 million pounds. They have financial reserves of £19m and with an under spend this year of £3m, it leaves them with £8m still to find.
Click below to watch a report by ITV News Anglia's Natalie Gray
Two Norfolk MPs will announce today how much the controversial King's Lynn incinerator plan is likely to cost.
Liz Truss and Henry Bellingham have put together a report on the proposed waste plant and have looked at the price of alternative schemes.
A council report has warned that scrapping the controversial waste incinerator at King's Lynn could cost Norfolk County Council up to £90 million.The council would have to pay the contractor Cory Wheelabrator £20 million in compensation if it fails to get planning permission.
Now council officers have warned the costs could be far higher if the council pulls out of the deal for a number of other reasons. The council is due to vote on it next month.
A group opposed to plans for a waste incinerator in Peterborough is holding a meeting tonight.
Plans for an incinerator in the town have been mooted since 2006, with the council needing to cut the amount of rubbish it sends to landfill.
This evening a cross party group that's against building an incinerator is meeting at the Town Hall. Local MPs have been invited to attend.