Property developers in Dublin's docklands area may be able to exploit a planning loophole to escape their obligations to provide social and affordable housing.

One of the projects that could be affected by the loophole is the massive Spencer Dock development, promoted by Treasury Holdings.

No comment from the company was available last night

Developers who have already achieved "fast-tracked" Section 25 planning permission from the Dublin Docklands Development Authority (DDDA), can lodge a second and separate application for additional development works with Dublin City Council.

If approved, the second planning permission - this time from the council - could mean the developer is no longer obliged to adhere to the authority's plans for social and economic regeneration of the area.

These plans include a requirement that 20 per cent of all new homes will be social and affordable housing.

Instead the developer could be subject to whatever criteria were applied by the council.

These could differ significantly to the criteria demanded by the authority.

Local authorities such as Dublin City Council are permitted to accept a land swap or cash in lieu of social and affordable housing when granting planning permission.

It is understood the council has already received at least one such application.

The matter was discussed at a meeting of the council's planning committee last week.

Ciarán McNamara, Dublin city council's executive manager with responsibility for planning, said a developer can apply to the DDDA under Section 25 and the docklands' authority "can apply whatever conditions they like".

"But if the developer comes to us . . . have to determine that application as well. We can't just refuse it and we might apply conditions that are different," he said.

"The docklands authority are of the opinion that you can't come to the city in relation to the same development. There are two conflicting legal opinions here."

While the council would not ignore any previous decisions made by the dockland's authority, Mr McNamara said applications would be determined on their merits.

It was not council practice to take money or a "land swap" in lieu of social and affordable housing.

"We would be demanding social and affordable housing on site, not elsewhere, and not a financial contribution instead of housing."

But Deputy Lord Mayor of Dublin, Cllr Aodhan O'Riordan (Labour) said the existence of the loophole threw the viability of the DDDA's "unique" social and economic masterplan for the area into doubt.

"How can you have a masterplan for an area if another body is changing the planning permission already granted for developments in that area?" Mr O'Riordan asked.

The council's planning committee chairman Cllr Daithi Doolan (Sinn Féin) called for legislation to be drafted "as a matter of urgency" to plug the potential loophole.

But Paul Maloney, chief executive of the authority, said it was "fully satisfied" that its planning schemes are being utilised to their full capacity in accordance with the area's masterplan.

"While in some minor instances some developers have sought additional development above the section 25 schemes through Dublin City Council does not detract from the DDDA's capacity to deliver on its masterplan," he said.