Water Services

Dáil Éireann Debate, Wednesday - 8 February 2012

Wednesday, 8 February 2012

Questions (122, 123)

Clare Daly

Question:

122 Deputy Clare Daly asked the Minister for the Environment, Community and Local Government noting that the recommended design figure for water usage is 180 litres per head per day, EPA 1999, that the allocation per house allowed when a commercial user shares a meter with a domestic user is 225 cubic metres annually, DOELG Circular WSP5/06, equivalent to 154 litres per head per day for a four person household and that the current average water use in the State is approximately 150 litres per head per day, Commercial Survey Ideal Standard March 2010, if he will confirm that his proposed prior to charging daily allowance will be at least equivalent to the domestic house allowance provided for in DOELG Circular WSP5/06. [7123/12]

Written answers

Minister for the Environment, Community and Local Government (Deputy Phil Hogan)

The Programme for Government provides for the introduction of a fair funding model to deliver clean and reliable water. The Memorandum of Understanding with the EU, the IMF and the ECB also contains commitments for the reform of water services delivery and operation and the introduction of domestic water charges. To meet these commitments, the Government intends initiating a universal water metering programme in advance of the introduction of water charges. This will facilitate moving to a charging system for domestic water users that is based on use above a free allowance as provided for in the Programme for Government. No decision has been taken on the level of free allowance to be provided to households or the method for its calculation. The reforms also propose that economic regulation of the water sector will be assigned to the Commission for Energy Regulation. My Department will be consulting with the Regulator on the approach to the free allowance in advance of the introduction of water charges.

On 16 January 2012, I commenced a public consultation on the Government's proposals for reform of water services delivery in Ireland, including metering and water charges, seeking views from the public on the establishment of a public water utility and the introduction of water charges. The details of the consultation process can be found on my Department's website and submissions can be made to my Department until 24 February 2012.

Robert Troy

Question:

123 Deputy Robert Troy asked the Minister for the Environment, Community and Local Government his plans for the new water monitoring board; the date on which it will be established; the way it will be structured; if it will be independent of him and independent when setting price; the persons who will make up the membership of the board; and if there will be any recruitment or will the embargo cover this board. [7145/12]

Minister for the Environment, Community and Local Government (Deputy Phil Hogan)

The Programme for Government provides for the establishment of a new State-owned national water authority, Irish Water, to take over responsibility for managing and supervising investment in water services infrastructure and to manage the domestic water metering programme. The memorandum of understanding between Ireland and the EU-IMF commits Ireland to undertake an independent assessment of the establishment of such an authority.

The first phase of work on the independent assessment has been completed, and a position paper setting out proposed reforms in the water sector has been published as part of a public consultation which will conclude on 24 February 2012. The proposed reforms comprehend:

the establishment of a new public utility, Irish Water to take over the responsibility for the delivery of water services from local authorities;

the introduction of water charges based on metered usage, with the procurement for the metering programme to commence later in 2012; and

the introduction of independent economic regulation of the water sector under the Commission for Energy Regulation.

The main role of the Regulator will be to protect the interests of customers. The regulator will be responsible for determining the cost of water services, ensuring that efficiencies are delivered so that the cost of providing the service to the consumer is kept to a minimum. The Regulator will ensure there is a framework where water charges are fair and clear in their implementation and that policies are in place to address affordability issues. The legislation to establish the regulator will determine the powers to be assigned to the regulator and the approach to be taken to regulation.

The phase 1 report was also published as part of the public consultation. This report set outs an outline transition plan for the establishment of Irish Water which would involve the appointment of an interim board and Project Management Office in 2012. Irish Water would be established under its own statute by mid 2013 at which point ownership of assets would transfer from local authorities to Irish Water. Local authorities would be agents of Irish Water for a period with Irish Water taking over their operations on a phased basis from January 2015. The full transfer of operations would be completed by end 2017.

Phase two of the independent assessment will set out a more detailed implementation plan and it is expected that this plan will be completed in April 2012 following on from the consultation process. Necessary legislation for all the components of the water reform plan, including the establishment of Irish Water, will be brought forward after this date, taking account of the finalised transition plan.