Mr. John Corrigan:

The original approach with regard to that requirement came to us through our colleagues in NewERA who were involved in the development of Irish Water with their counterparts in the Department of the Environment, Community and Local Government and other relevant Departments. The proposition that was presented to the NPRF did not represent a bankable proposition, in the view of the NPRF commission, in the absence of a regulatory and pricing regime. There was no stream of income to support it. An amendment was made to the Irish Water legislation to empower the Government to guarantee to the NPRF any loan the NPRF commission might decide to make. On foot of that guarantee, the NPRF commission felt it was in a position to make this advance. That decision was made on the basis of the credit of the State rather than that of Irish Water, which was still in its embryonic stages. The guarantee that was available under the Irish Water legislation got the project across the line.