Bertie Ahern (Dublin Central, Fianna Fail)

Perhaps I did not answer the questions in sequence but I thought that I had given a clear indication of the Government's intentions. The answer to Deputy Kenny's first question is "Yes". The directive requires member states to ensure no later than 2010 that water pricing policies in each member state will provide adequate incentives for users to use water resources effectively and thereby contribute to the environmental objectives of the directive. This is the commitment contained in the directive.

The Deputy's second question was whether I am in favour of flexibility and the answer is "Yes". This is the reason I have made this announcement. At present, a large number of schools are billed by local authorities and traditionally have been so billed. The reason they were unable to get a derogation in the first place was because of the existing practices that had taken place for years. Consequently, those schools that were paying a flat rate sum could not get a derogation, which is the reason they could not be excluded at the time of the negotiations on the directive.

However, there is a requirement for a transition period in order that the system can enable conservation measures to be implemented to deal with issues in which water is being wasted for one reason or another. The Government is considering the implementation of that transition period. While it can last until the end of 2009, we will see what transpires. It will involve the payment by schools of a flat rate that is appropriate to their size. While this must be worked out, clearly it will not resemble the increases that are being experienced at present from €300 to €6,000. That is not a reasonable position because it puts an enormous strain on schools.

In addition, the Government also must look at the legal issues. I have received a report from the Attorney General regarding the legal issues involved. While it is fairly clear, the Government must look at those issues. At some time during the school holiday period, the Government will issue a statement dealing with the other issues.

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