Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I know well. Let me show Deputy Fleming the difficulty from a legislative point of view. Would this mean, for example, that part of a hotel or part of a factory premises, or a large multinational with its own facilities, could end up being exempt? I am well aware that is not the Deputy's intention, but merely our interpretation of the potential consequences of the amendment.

The impact of this amendment would be far-reaching and would necessitate a revisiting of the valuations of thousands of properties, which could result in a reduction in their valuations and a shift in the rates burden to those who would not benefit from this amendment. This type of partial exemption would be random and potentially unfocused. It is not targeted at those that operate on a not-for-profit basis and thus is contrary to the core rating principle that those that operate for profit should pay commercial rates.

The proposed amendment would not make Irish Water ratable. Irish Water's properties are already captured in the various paragraphs in Schedule 3, be that its buildings, land or networks. Including water facilities in Schedule 3 makes no difference to the ratability of Irish Water as the exemption from rates for Irish Water is now provided for by paragraph 21 of Schedule 4 of the Valuation Act 2001, as inserted by section 12 of the Water Services Act 2014. Effectively, we would be listing Irish Water here but stating, in Schedule 4, it was exempt.