Devonshire Homes said its plans were less expensive
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The Environment Agency has blocked an attempt to discharge sewage effluent from a housing development into a tributary of the River Otter in Devon.
Devonshire Homes wanted to build a private treatment works as part of a housing development in Ottery St Mary.
It claimed connecting the houses to the public sewer would be more expensive and cause major disruption in the area.
But the planning inspector said any malfunction with the treatment plant could cause significant harm.
The Environment Agency had refused Devonshire Homes permission for the sewage treatment works to discharge effluent into a nearby stream, but the developer had appealed the decision.
Devonshire Homes said connecting to the public sewer would involve laying 270m (886ft) of pipe work which could cause major disruption to Cadbury Lane and estimated the pipes would cost �103,000 compared to about �13,500 for the treatment works.
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