To investigate the application prospect of MSW oxy-enriched incineration technology in China, the technical and economical analyses of a municipal solid waste (MSW) grate furnace with oxy-fuel incineration technology in comparison to co-incineration with coal are performed. The rated capacity of the grate furnace is 350tonnes MSW per day. When raw MSW is burned, the amount of pure oxygen injected should be about 14.5wt.% under 25% O2 oxy-fuel combustion conditions with the mode of oxygen supply determined by the actual situation. According to the isothermal combustion temperature (Ta), the combustion effect of 25% O2 oxy-enriched incineration (α=1.43) is identical with that of MSW co-incineration with 20% mass ratio of coal (α=1.91). However, the former is better than the latter in terms of plant cost, flue gas loss, and environmental impact. Despite the lower costs of MSW co-incineration with mass ratio of 5% and 10% coal (α=1.91), 25% O2 oxy-enriched incineration (α=1.43) is far more advantageous in combustion and pollutant control. Conventional combustion flue gas loss (q2) for co-incineration with 0% coal, 20% coal, 10% coal, 5% coal are around 17%, 13%, 14% and 15%, respectively, while that under the condition of 25% O2 oxy-enriched combustion is approximately 12% (α=1.43). Clearly, q2 of oxy-enriched incineration is less than other methods under the same combustion conditions. High moisture content presents challenges for MSW incineration, therefore it is necessary to dry MSW prior to incineration, and making oxy-enriched incineration technology achieves higher combustion temperature and lower flue gas loss. In conclusion, based on technical and economical analysis, MSW oxy-enriched incineration retains obvious advantages and demonstrates great future prospects for MSW incineration in China.