Mr. Enda O'Donovan:

The Office of Public Works is the expert on flooding. As I stated, it takes a long time - more than ten years - for flood measures to be implemented. We cannot wait that long because we do not have resources and could not survive another flood event. When heavy rain is due, we are all up at night because we do not have insurance cover. The stress is unbelievable. It needs to be experienced to be believed. For these reasons, we want a pilot scheme introduced. We have examined various options and propose a scheme that would help people get back on their feet. I am not referring to insurance but a means to allow people to find their feet. We are seeking enough recompense to allow people to continue to live in a damp house after a flood event.

I will read through the details to give members an idea of what the scheme entails. We propose the establishment of a trust fund for a flood event to help those who do not have flood insurance cover. The fund would only provide a limited payment per home, one which would cover basics and allow people to get back on their feet. We propose a maximum payment of €5,000 per home. This modest sum would cover the cost of replacing a refrigerator, washing machine, cooker, beds and clothes, thus allowing people to return to their homes after a flooding event. It is vital to allow people to do so. We are seeking a minor investment from the Government, rather than additional money. In 2009, a sum of €10 million was promised for flood relief for a catastrophe fund. As far as we can ascertain, only €1.8 million of this funding has been spent. We are simply seeking to have the remaining €8 million paid to an agency such as the National Treasury Management Agency, NTMA, and ring-fenced for this purpose. Sponsorship provided by non-governmental organisations could increase the fund and members of the public would pay to join. We propose a membership fee of €10 per month in addition to what people pay for home insurance policies that do not provide flood cover.

We are not asking for something for nothing. People would buy into the fund in return for being provided with a safety net. I have provided some figures, which show the initial investment to be allocated to the NTMA. We have experts associated with the insurance industry who would help manage the fund. Based on an estimate of 10,000 households buying into the fund, we envisage we could pay out on events every year without exhausting the fund. The important element is that a levy would be applied to the insurance industry. This levy would be only €2 per annum for each home insured. Based on a figure of 1.8 million homes, this would generate a sum of €3.6 million per annum. This funding would be vital if the trust fund is to save people. It is one proposal. We are trying to find solutions as we cannot wait for flood relief schemes which take ten years to complete. People cannot wait this long because they do not have anything and cannot afford another flood.