Oireachtas Joint and Select Committees

Wednesday, 25 October 2017

Select Committee on Housing, Planning and Local Government

Water Services Bill 2017: Committee Stage

4:10 pm

Photo of Eoghan MurphyEoghan Murphy (Dublin Bay South, Fine Gael) | Oireachtas source

I will speak to each individual amendment if I may and then I will answer some of the questions that were raised. In regard to amendment No. 13, the review to be carried out by the regulator will assess the rate of demand for water services in dwellings over a 12-month period. We can expect that usage over a 24-month period will be twice the annual usage so 12 months is being set down as a reasonable time to determine exactly what the average usage might be in the dwelling in question. Therefore, I cannot accept that amendment.

Amendment No. 14 seeks to remove certain subsections in relation to what the commission should consider when carrying out the review. The amendment proposed seeks to remove the provision to assess the rate of demand for services by individuals and in dwellings. As that is integral to the Bill itself I cannot accept the amendment.

In regard to amendment No. 15, the regulator has published data on water consumption and I will come back to that in a moment. I will not be accepting the amendment.

Amendments Nos. 16 and 17 relate to international comparisons. The review being carried out by the regulator will be based on actual consumption patterns.

I accept the Deputy's point about information on international consumption patterns and how it might be useful. Section 53(7)(b) sets out matters to which the Minister will have regard when making an order setting a threshold. One of these matters is the need to promote the conservation of water and the sustainable management of water resources. In that context, the Minister of the day could consider international consumption patterns. I can give a commitment that he or she would do so. It is also important that the water forum advise that international consumption patterns be referred to in that regard. I, therefore, ask the Deputy to withdraw the amendment.

To respond to some of the questions asked, ideally we would raise no money from the excessive use charge. This is about conservation. We want to tackle the 8% who are using almost one third of water supplies. We are anxious to use the period beforehand, the 12 months of review and the six months when a notice is issued to a household going over the excessive usage amount to have their consumption cut and the leaks fixed. That is the intention; it is not to find a new revenue stream for Irish Water.

The allowance is not 17% more. It is almost twice the average use per person when one considers the average consumption used for a four person household multiplied by 1.7. Given the data produced by the CER which will become the CRU, it will accommodate eight people. There is more than enough of an allowance for a household. Whether it is one adult and three children or four adults, the 1.7 multiplier will accommodate significantly more water for each of the individuals in the household. According to the Central Statistics Office, CSO, the average number of people per household is 2.7; therefore, we are allowing for an average household of four, which is generous. Just over 70% of households in the State comprise four people or fewer. The allowances being provided are very generous. Again, we are trying to find the 8% who are using 30% of the water supplied and tackle this as a conservation measure.

Medical need is addressed later in the Bill. There can be an exemption for a household because of medical need. What "ordinarily resident" or "ordinary residing" means is dealt with later in the Bill. It will be addressed through regulations. If somebody is going off to college for five days per week, he or she will be considered to be ordinarily resident. That individual would not have excessive usage.

On how we calculate the figure, it is not just about looking at the household and not at the person. We are looking at both. We will allow for four people in terms of average household use. With the excessive use charge set at 1.7, based on the data we have seen to date, it will potentially allow for an additional four more. However, if there is another person living in the household, the household can apply for an additional usage allowance for that individual to be added to the average usage allowance which will cover four persons, although it is more than four when one considers the 1.7 multiplier. It is more than generous. This is about conservation, fixing leaks and ensuring we will have sound investment in water infrastructure into the future.

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