Dublin City Council received planning permission for the facility in November but requires a waste licence to operate it.
The council hopes to have the incinerator in operation by 2012.
It would take up to 600,000 tonnes of waste a year, generating enough electricity for 50,000 homes and heating for a further 60,000.
The EPA has granted a licence in principle on condition that the waste is residual with recyclable material extracted.
But Minister for the Environment and local TD John Gormley has said the size of the incinerator is not sustainable.
The EPA will hear 14 objections including local politicians and local residents.
This morning a number of residents said they fear the health consequences of further pollution in the area.
They are also concerned about increased traffic levels.
