The interchange was originally projected to cost €100m, but then jumped to €115m, with fears it could now end up costing as much as €170m.
Warnings have been issued in recent days about the disastrous impact of any delays to the €100m upgrade of the Dunkettle interchange.
Property developer Michael O’Flynn and the Cork Chamber of Commerce issued the warning as Taoiseach Leo Varadkar insisted the project will not be scrapped - despite documents which warn that the contractor may have to be let go if agreement on a new pricing structure cannot be agreed.
If agreement on a new pricing structure cannot be agreed with contractors Sisk, Transport Infrastructure Ireland's director of capital programmes Peter Walsh warned in the document that this could delay completion by 12-18mths.
Taoiseach Leo Varadkar said the upgrade “is going to happen” - but did not rule out delays.
Developer Michael O’Flynn said any delay in the Dunkettle Interchange “will have disastrous consequences for the development of the North and East side of Cork”.
“Any new development proposed or granted recently is based on the Dunkettle interchange proceeding,” Mr O’Flynn said. “It has been a major issue for Transport Infrastructure Ireland and An Bord Pleanala in making decisions, ours and any other development will not go ahead unless there is a clear timetable for the delivery of the Dunkettle interchange,” he said.
Last year O’Flynn Construction received planning permission to build 608 residential units on a 31.5-hectare site in Ballinglanna, Glanmire.