The Government is to be referred to the European Court of Justice for charging fees for third-party planning objections.
Following a number of warnings on the issue, the European Commission announced yesterday that it would take a case against Ireland for breaches of the EU's Environmental Impact Assessment Directive.
Only last week the commission had issued a "reasoned opinion" - a forerunner to legal action - arguing that the planning fees contravened a directive on industrial accidents.
But the decision to refer the Government to the Court of Justice relates to the environment directive, and was made on two grounds. The first concerns the planning fees - €20 in the first instance and €45 on appeal - which the commission says could amount to half the weekly income of people on social welfare, and which, it argues, make it less likely that citizens will "contribute to the environmental decision-making process".
The second combines a number of the Commission's other concerns about Irish planning policy, including what it sees as inadequate screening of developments for which environmental impact assessments are not mandatory.
The Department of the Environment said it would study the decision with the Attorney General's office, while a spokesman said the Government believed the legislation complied with EU law.
However, Labour MEP Mr Proinsias De Rossa predicted the Government would just "string it out as long as possible" before amending the legislation. Describing the planning fee as a "tax on information", he said it should be scrapped immediately.
A spokesman for An Taisce said Ireland was not unique in playing "brinkmanship" with Brussels.
However, the Commission had issued a reasoned opinion on its concerns even before the Planning Act came into force last year.
"Not only did the Government fail to address the issues referred to but it then made the situation worse by introducing fees."