Flue gas recirculation in the incinerator combustion chamber is an operative technique that offers substantial benefits in managing waste incineration. The advantages that can be obtained are both economic and environmental and are determined by the low flow rate of fumes actually emitted if compared to the flue gas released when recirculation is not conducted. Simulations of two incineration processes, with and without flue gas recirculation, have been carried out by using a commercial flowsheeting simulator. The results of the simulations demonstrate that, from an economic point of view, the proposed technique permits a greater level of energy recovery (up to +3%) and, at the same time, lower investment costs as far as the equipment and machinery constituting the air pollution control section of the plant are concerned. At equal treatment system efficiencies, the environmental benefits stem from the decrease in the emission of atmospheric pollutants. Throughout the paper reference is made to the EC legislation in the field of environmental protection, thus ensuring the general validity in the EU of the foundations laid and conclusions drawn henceforth. A numerical example concerning mercury emission quantifies the reported considerations and illustrates that flue gas recirculation reduces emission of this pollutant by 50%.