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The findings are in a report commissioned by former Irish Environment Minister John Gormley.
The report concludes that authorities would not be able to deliver the amount of waste to the incinerator that would be required by the contracts.
Falling short of these targets means they would be liable for fines up to Euro 350 million.
Mr Gormley is now asking for the new Environment Minister, Eamon O Cuiv, to publish the confidential report so that the issues can be made public.
He said: “I believe it to be in the public interest for this report to be published as soon as possible, as it identifies potential penalties of up to €350 million if the project goes ahead.
“Mr Hennessy’s report makes it abundantly clear that, even with an economic recovery, the councils will face huge difficulties meeting their target, and therefore face hefty penalties.”
Alison Brown
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