Southern Water has denied it has a favourite among eight sites it has suggested for a sewage treatment works.
The water giant is consulting people in the Brighton area about the sites following the rejection two years ago of a plant at Portobello, near Telscombe Cliffs, where sewage from the city is discharged into the sea.
People at Ovingdean, who held a protest meeting on Saturday, say a site in a field near the clifftop is the preferred option because it is the cheapest.
However, Southern Water spokesman Geoff Loader said the company did not have a favourite.
He said Ovingdean was not the cheapest because money would have to be spent on creating a 60ft hollow to house the plant.
Rumours of a five-storey building there were also untrue.
Southern Water said more than 1,000 people attended a three-day exhibition on the sites at Brighton Racecourse.
So far there have been 100 responses but many more are expected during the next two weeks.
Mr Loader said the company was encouraged by the reaction of most people.
There was a general feeling a site would have to be found for the sewage works so Brighton and Hove was not the only resort in the area failing to comply with European water quality standards.
Some people complained talks had been held in secret with councils about the sites before consultation.
Mr Loader said: "The meetings we had with them were to ensure the shortlist was realistic."
Yesterday, the exhibition was at Hoddern Junior School in Peacehaven, before moving to Hillcrest Community Centre in Newhaven today and Southwick Community Centre tomorrow.
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