The flags, which are of D Company of the Belfast IRA’s 2nd Battalion, were erected in the Millfield area of Belfast over the weekend.
Mr Dickson said the flags should be removed immediately.
“Paramilitary flags are a scourge in Northern Ireland and there can never be any justification for them. The celebration of violence has no place in our society and is inexcusable. We cannot simply turn a blind eye to the flying of such illegal flags.
“Public agencies such as the police, Roads Service and Housing Executive, alongside political representatives, have a duty to ensure communities are inclusive and welcoming, not promoting a climate of fear, which these flags clearly do.
“I would call on the authorities to remove these illegal flags immediately. Alliance has long called for cross-party support to tackle illegal flags and there is an urgent need for action to be taken.”