I propose to take Questions Nos. 624, 625 and 638 together.
The Government considers that charging based on usage is the fairest way to charge for water and it has decided that water meters should be installed in households connected to public water supplies. The Government has also decided that Irish Water, a new State-owned water company to be established as an independent subsidiary within the Bord Gáis Éireann Group, will be responsible for the metering programme. In common with meters for other utility services, the meters will be the property of Irish Water which will also be responsible for repair and maintenance of the meters.
The installation of water meters in households connected to public water supplies will commence later this year. The nature of the work will involve minor excavation and reinstatement works and will provide much needed employment in the construction sector. In keeping with international practice regarding water metering, the meters will be installed at the boundary of the property, most typically in the footpath or verge at the front of a house. It is not envisaged that meters will be installed on the carriage-way of roads. Households will not be charged an upfront free for the installation of the meters.
The Government has also decided to assign responsibility for the economic regulation of the water sector, including the setting of charges, to the Commission for Energy Regulation. The primary role of the regulator will be to protect the interests of customers and to ensure a consistent and appropriate level of service is provided to them. An appropriate approach to charging customers will be put in place and a public consultation will take place as part of the regulatory process.
Affordability issues will be addressed by my Department and the Department of Social Protection, in consultation with the Regulator, Irish Water and other stakeholders, in the context of developing a water pricing framework. The agreed approach to affordability issues will then be reflected in the charging structure established by the Regulator. No decision has yet been taken on the level of or the approach to the free allowance.