The Workers' Party wants to stamp out the practice of land hoarding in Dublin.
City Councillor Eilish Ryan says the profit to be made from hoarding the land drives up housing prices.
She says the vacant site levy is no use if the housing eventually built on these lands is totally unaffordable.
Councillor Ryan says it is not going to put developers off holding onto land.
She said: "So it's not going to have a very big impact in the context of the housing crisis, many of the developers that are holding onto land are very large developers.
"They can easily afford to pay this levy, it's very little disincentive and the profits they can get from driving up the price of housing through land-hoarding totally outweigh it."
Ms Ryan made a call to introduce a new zoning category for vacant lands in Dublin to ensure housing built on those lands is affordable.
She says the 'residential' zoning category for land is no longer fit for purpose, and says a new category is needed.
The Councillor said: "So what we are calling for is that a new zoning category be introduced in the Dublin city development plan that would allow a Councillor to specify that certain lands be used only for effectively affordable housing, as opposed to developers being able to build extremely expensive housing on land that they have held onto for a very long time."