Oireachtas Joint and Select Committees
Tuesday, 14 January 2014
Joint Oireachtas Committee on Environment, Culture and the Gaeltacht
Expenditure Issues: Irish Water - Uisce Éireann
7:40 pm
Mr. Paul O'Donoghue:
Deputy Catherine Murphy asked a number of questions. I take her point about the cost of introducing billing systems versus the unknown that is collecting the billings later this year. However, I think people would accept that to go about billing 1.6 million domestic customers and a couple of hundred thousand non-domestic customers, one must have a billing system. One must have computers, keep accounts, have good records, take data from meters and get bills out. One must have a billing system.
We have no option other than to take that leap of faith. We must have a billing system in which people have confidence.
I echo Senator Brennan's view on locating meters on the street. We would love to hear more on a first-fix policy. We have been speaking to the Department and keeping track, with the Minister, of developments in this regard. The Minister is pursuing a first-fix policy and we would like one to be introduced.
My colleagues referred to quality control around the installation of meters. We have a high degree of confidence in quality control, an issue on which I can provide some of the metrics. We receive approximately 1.9 complaints per 100 installations, which compares to a complaints rate of between two and three per 100 in Southern Water in the United Kingdom. We currently look good, therefore, relative to other companies which are undertaking universal metering programmes. This does not mean we do not receive any complaints. Given the invasive nature of the work, with holes being opened outside people's properties, mistakes will occasionally occur. It is critical that we do not allow the rate of complaints to increase and we ensure it is maintained at a low level. Of greatest importance is that we ensure that when things go wrong they are resolved to customers' satisfaction. We pride ourselves on that.
On the issue of a standing charge versus a meter charge, as I stated in reply to Senator Brennan, we expect that there will be a standing charge element. We never relate this element to the meter charge. As I noted, the standing charge typically reflects some of the fixed costs in the industry. It is not a line item which reflects a particular cost such as a meter cost. We never stated that a standing charge would be meter related.
On development levies and non-domestic water, we expect that the Commission for Energy Regulation will seek to harmonise tariffs and charges when it has an opportunity to do so. This would result in the application of single charging regimes regardless of where a development is being opened or where a water supply or service is utilised.
Another outstanding issue for members was whether customers who use less will have to pay a higher unit rate. The answer is "No". The unit rate will be struck and customers who use less against that unit rate will pay less.
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