Fergus O'Dowd (Louth, Fine Gael)

The programme for Government provides for the introduction of a fair funding model to deliver clean and reliable water. The objective is to install water meters in households and move to a charging system based on usage above a free allowance. The Department of the Environment, Community and Local Government is currently preparing a strategy to implement these proposals, including the funding of the metering programme, the approach to be taken for the procurement of the water meters and for their installation. Further details will be made available when the Government has considered the proposals.

The programme for Government also proposes the establishment of a new State-owned water company to be called Irish Water. The memorandum of understanding between Ireland and the European Union and International Monetary Fund commits Ireland to undertaking an independent assessment of the establishment of a water utility. Consultants are currently being appointed and will shortly commence work on this assessment, which will examine the optimum role of the new company and will assist in defining the functions to be assigned to it. The assessment is to be completed by the end of October this year and the Government will then consider proposals on the establishment of Irish Water before the end of 2011.

It is intended that Irish Water will be responsible for the management of the water metering programme. Achieving value for money will be critical and it is likely that the installation of water meters will involve an open procurement process where contractors will be invited to submit tenders for various elements of the meter installation programme. However, while it would be impractical to rule out private sector involvement in the installation of water meters, the intention is that the meters and related equipment will remain in public ownership.

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