This morning, SITA announced it will no longer be pursuing controversial plans to expand the boundaries and capacity of Seghill landfill.
The plans, which would see an additional 4.5m tonnes of waste taken to Seghill until 2021, were rejected by North Tyneside Council last year.
SITA appealed against the rejection of the plans, which led to the application being "called in" by the Department of Communities and Local Government (DCLG) for a public inquiry.
Reacting to the news, chairman of the NoToLandfill group Lindsay Perks said: "We were surprised and thrilled to receive the SITA press release today.
"We have argued consistently that there was no need for the development quite apart from its negative environmental impact.
"It seems they now agree with us and are no longer happy with the commercial viability of their proposal."
"This outcome is in no small measure the result of fantastic support we have received from the local community and like-minded people elsewhere.
"The 5,000 people who signed our petition are proof of the strength of feeling on this issue"
SITA's north east general manager John Grainger said the company had abandoned its appeal because of the significant cost of the appeal process in the "current economic climate".
Mr Grainger said the company would be looking at "range of other options" including a smaller scheme at Seghill or processing rubbish at other parts of its north east operations.
Former-district councillor for Seaton Valley and long-term opponent of the plans, Bob Watson, welcomed the news with caution.
"If we take the press release at face value then it is indeed wonderful news for our residents," he told
newspostleader.co.uk"Particularly in Seaton Valley who might now have an end to the problems they have been suffering for the past few decades.
"I and others, however, are somewhat concerned at SITA's stated intention of using the site 'for years to come'."
"We will monitor very closely the actions of SITA and the Northumberland County Council."
At the time of publication, the DCLG was yet to confirm how this would affect the public inquiry into the application.