The DPP will now decide whether or not the 96FM radio presenter faces criminal charges.
It is a criminal offence to commit a lewd act in a public place.
Last October, Mr Prendeville was seen masturbating as the aircraft on which he was a passenger taxied for takeoff.
The chat show host was one of a number of guests at an event in London on October 19 to promote conference business in Cork.
The guests were entertained, prior to the late return flight to Cork, at celebrity chef Richard Corrigan’s restaurant.
Aer Lingus cabin crew and passengers sitting next to Mr Prendeville on the flight from London Heathrow to Cork were questioned by gardaí in early November.
When the incident came to light, Mr Prendeville, 49, issued an emotional apology on Cork’s 96FM, blaming a combination of painkillers and alcohol and claiming he could not remember what happened.
He did say, however, he would not contest any charges that may arise from his behaviour.
Speculation has been mounting that the radio host is set to return to his morning slot.
Kieran McGeary, chief executive of Cork’s 96FM and C103, previously said Mr Prendeville will not return to work until the radio station’s own investigation and the Garda probe is complete.
The controversial broadcaster has been off-air since the allegations surfaced last October.
At the time of the incident, the Rape Crisis Network warned that the incident must be “rightly recognised” as “sexually harmful behaviour and as a crime”.
However, because the incident occurred before the flight took off from Heathrow, it is understood there may be a potential issue with jurisdiction and this may prevent the DPP from prosecuting.
British police are not investigating the matter.