Haines Junction, Yukon, has called off a controversial proposal to replace its landfill with an incinerator.

The proposal to replace the landfill with an incinerator did not sit well with many local residents. Thomas Eckervogt, who lives within a kilometre of the proposed site, said he wasn't convinced there was a way to safeguard people from hidden toxins in the emissions.

"I'm glad it's not going ahead," he said. "We live pretty close to the proposed site of it, and I think it's kind of a waste of a resource nowadays. There's not too much that can't be recycled somewhere."

Mayor George Nassiopoulos said recycling would have continued and the incinerator is safe but it's too expensive.

"I personally still feel this is a superior method of dealing with our garbage rather than landfilling, but we still have to have something that's affordable for the village," he said.

Nassiopoulos said the village will wait until after next month's council election before deciding what to do next.