It means that millionaire Crosbie's big wheel, which opened at the weekend, will be the only attraction of its kind in the capital.
The Wheel of Dublin, which is Ireland's answer to the London Eye, stands 60 metres high and offers unparalleled views across the city, as far as the Dublin mountains and Howth Head.
The DDDA did have plans to build an observation wheel at George's Dock or Custom House Quay, however, a spokeswoman confirmed to the Herald that it had shelved its plans.
If both projects had gone ahead, the city would have had two almost identical attractions just 1km apart.
There was much interest in the opening of the city's new big wheel. However, there were teething problems with the opening, which was postponed to today.
Visitors will be able to enjoy sky-high views of the capital on the Wheel from Saturday at a cost of €9 per person for a 13-minute trip. The new venture cost between €8 and €10m.
The wheel is being joined by an outdoor performance area and markets and Mr Crosbie expects the market to be the country's biggest with 150 stalls and to host free lunchtime rock shows.