Batt O'Keeffe (Cork North West, Fianna Fail)

I do not expect to be in a position to make further improvements to capitation grants in the current year. However, I am very conscious that it is necessary to increase them and I will keep this need very much in mind.

Two issues arise, one of which concerns conservation of water in schools. Fitting simple water-saving devices should be relatively cost-effective. More important, I would like to see the Department of the Environment, Heritage and Local Government, inculcating in children the benefits of conserving water.

Under the transition arrangements agreed by Government, schools will play a flat fee per pupil. The fees are €3 per pupil in 2007, €3.50 per pupil in 2008 and €4 per pupil in 2009. On the basis of metering, the charges applied for 2007 will be recalculated according to the transitional flat rate with credit given for any excess payment. My legal advice suggests that by 2010 we will have to move towards full cost recovery. The transition period was to give schools an opportunity to consider their systems of conservation to ensure water would not be wasted. We have put in place a minor works scheme to ensure that where leaks occur funding can be used to carry out repairs.

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