EXHIBIT 23.1


                         CONSENT OF INDEPENDENT AUDITORS

     We consent to the reference to our firm under the caption "Experts" in the
Registration Statement (Form S-3) and related Prospectus of KTI, Inc. for the
registration of 2,453,237 shares of its common stock and to the incorporation by
reference therein of our reports dated February 28, 1997 and February 7, 1997
with respect to the consolidated financial statements and schedule of KTI, Inc.
and the financial statements of Penobscot Energy Recovery Company (a Limited
Partnership), respectively, included in the Annual Report (Form 10-K) of KTI,
Inc. for the year ended December 31, 1996, filed with the Securities and
Exchange Commission.


                         /s/ Ernst & Young LLP

                         Ernst & Young LLP




Hackensack, New Jersey
January 15, 1998