Phil Hogan (Carlow-Kilkenny, Fine Gael)

I move: "That the Bill be now read a Second Time."

I am pleased to bring the Water Services (Amendment) Bill 2011 before the Dáil today. It is important to explain the background and the rationale for this legislation. There are two main reasons for the introduction of this Bill, the first of which relates to non-compliance with EU legislation.

On 29 October 2009, the European Court of Justice ruled against Ireland on the treatment of wastewater from septic tanks and other on-site wastewater treatment systems. The court found that by failing to adopt the necessary legislation to comply with Articles 4 and 8 of the waste directive as regards domestic wastewater disposed of in the countryside through septic tanks and other individual wastewater treatment systems, Ireland had failed to fulfil its obligations under that directive.

The European Court of Justice found that Irish legislation does not adequately provide for domestic wastewater from septic tanks to be recovered or disposed of without endangering human health and without using processes which could harm the environment. It found Irish legislation also fails to provide for the prohibition of the uncontrolled disposal of such wastewater which is a requirement of the waste directive. Irish legislation, the court ruled, does not adequately provide that the holder of such wastewater either has it handled by a public or private waste collector or recovers or disposes of it himself in accordance with the provisions of the directive.

The second reason is a more fundamental reason, one which no right-thinking person could disagree. The key objective of the new legislation is to enhance and protect public health and the environment which will, in turn, benefit rural dwellers in terms of a better quality of life and better quality water.

In its 2009 water quality report, the Environmental Protection Agency, EPA, noted the presence of microbial contamination arising from the entry of faecal matter to Ireland's waters. The report stated one of the main sources of microbial pathogens was on-site wastewater treatment systems including septic tanks. The EPA's report states a high proportion of monitoring points with faecal coliform detections not only reflects the impact of human activities, but also the vulnerable nature of groundwater in some parts of the country.

Groundwater is a source of drinking water for many people. Approximately 26% of the public and private drinking water supply is provided from groundwater sources. The EPA has identified effluent from on-site wastewater treatment systems as one of the main sources of contamination of groundwater. The 2006 census reported more than 450,000 households were served by septic tanks and other forms of on-site wastewater treatment systems.

Aside from the obvious need to protect human health and the environment, there is another reason why it is critical this legislation is enacted as soon as possible. In July 2011 the European Commission applied to the European Court of Justice to have fines imposed on Ireland for failing to comply with the original court ruling in this case. If we do not comply with the ruling quickly, Ireland will be the subject of significant fines by the court. The level of the fines could be a lump-sum penalty of €2.7 million and daily fines for continued non-compliance of more than €26,000 per day, equivalent to more than €9.5 million per annum. The Government has not delayed or prevaricated in addressing this matter. It has acted promptly in bringing this Bill forward and is determined to have it enacted as soon as possible, thereby meeting the requirements of the European Court of Justice ruling.

The court's ruling excluded County Cavan. The European Commission acknowledged the by-laws adopted in that county in 2004 did constitute legislation for the purposes of the waste directive. The introduction of provisions mirroring the provisions of those by-laws was therefore considered when drafting this Bill. However, the Cavan by-laws do not contain any requirement for householders to register their on-site systems with the local authority. The formation of a register is an essential part of the EU guidelines for environmental inspections and will be a critical element of the development of the EPA's risk-based inspection plan. The Cavan by-laws require all owners of septic tanks and similar on-site treatment systems to have their systems assessed by a competent person with re-inspections being necessary every seven years. Householders must pay for the assessments, which are carried out by the private sector and cost, on average, €200 per assessment. Inspections carried out under the new national system being introduced under this legislation will be free.

The Bill has been drafted to minimise the impact on householders. The registration fee payable will cover all administration and inspection costs. There will be no additional charges such as a re-registration charge levied on householders. Responsibility for the prevention of pollution from septic tanks and other on-site wastewater treatment systems already rests with the owners of premises served by such systems. Section 70 of the Water Services Act 2007 places a duty of care on owners to ensure their treatment systems do not cause a risk to human health or the environment or a nuisance through odours. Householders who are already meeting their responsibilities in this regard have nothing to fear from the risk-based inspection system which will be introduced under this legislation. The Bill specifies the basic criteria against which on-site wastewater treatment systems will be inspected. These criteria, specified in Article 4 of the waste directive, are that the system does not endanger human health or the environment including water, air and soil, the countryside and places of special interest. If a septic tank or similar system is operated and maintained properly and not causing pollution, it will pass inspection and will not require upgrading. There is no question of applying new standards, for example, those of the EPA's 2009 code of practice, to older on-site systems.

Section 4 provides for the amendment of section 70 of the 2007 Act by the inclusion of a new Part 4A, containing 11 sections, after Part 4 of the 2007 Act. The new Part 4A will build on the existing legal obligations in the Water Services Act and ensure Irish legislation on the treatment of wastewater from septic tanks and other on-site wastewater treatment systems fully complies with the waste directive. Part 4A will introduce a register of all such treatment systems, establish an inspection system for treatment systems and provide for the necessary protection of human health and the environment.

Section 70A provides for definition of the terms used in the new Part 4A. Section 70B provides that each water services authority will be responsible for maintaining a register of treatment systems. This will comprise a single national register with individual parts for each local authority. Work is under way to develop the database which will support the register. Section 70B also establishes a requirement for householders to have details of their systems entered on the register. In accordance with the section, I will make regulations prescribing the date for householders to have their systems registered. I have in mind a timeframe of 12 months from the date of enactment of the legislation for this requirement. A facility to allow registration online is being developed and it is also intended to put in place a written registration facility via the local authorities. Details of when the registration facilities are available will be announced in the national and local media.

Section 70B also provides that householders will be required to pay a modest registration fee which will not exceed €50. The exact fee will be prescribed in regulations. The revenue generated will be used to fund the delivery of a national inspection plan which will be developed by the EPA in consultation with the local authorities. The roll-out of the national inspection plan will be managed by the local authorities. Householders will not be charged for inspections. Following the initial registration, householders will not be required to re-register their systems for five years and there will be no charge for second and subsequent registrations.

Section 70C sets out the duties of owners of premises connected to domestic wastewater treatment systems and places responsibility on the owner of a system to ensure it is maintained and operated in a manner that does not cause a risk to human health or the environment.

Section 70D provides that after the date for registration, to be prescribed under Section 70B, when a house served by a domestic wastewater treatment system is sold, the vendor must provide evidence to the purchaser that the system is registered. The purchaser is required to notify the relevant local authority of the change of ownership.

Section 70E deals with the appointment of inspectors. The EPA will be responsible for the appointment of persons to act as inspectors of treatment systems. The section includes a provision for the making of regulations concerning the appointment of inspectors, criteria to be met by those seeking appointment, the circumstances leading to the revocation of an appointment and procedural matters in relation to appeals.

Section 70F contains provisions concerning the EPA's responsibility to establish and maintain a register of persons appointed as inspectors for the purposes of Part 4A. Section 70G sets out the powers granted to inspectors appointed under section 70E. These powers include the examination of a treatment system, taking samples, taking photographs of any element of the treatment system, examination of the subsoil and obtaining information and inspecting records pertaining to the maintenance, servicing or operation of the treatment system. This section also provides that an inspector cannot enter a private dwelling without the permission of the occupier. Once notification of an inspection has been provided by a water services authority, it will be an offence for a person to prevent an inspector from entering a premises, to obstruct or impede an inspector when carrying out their duties, or to provide false or misleading information regarding a treatment system to an inspector, the EPA or a water services authority. The EPA or a water services authority will have the power to have authorised and appropriate persons accompany inspectors in the course of their duties.

Section 70H provides that inspectors will carry out inspections of treatment systems as requested by the EPA or by a water services authority. Inspections will be based on the national inspection plan, which is provided for under section 70K. It is important again to note that, irrespective of the age or type of waste water treatment system in place, if it is working properly and not polluting, there is no question of the owner having to upgrade to a more modern system. Under section 70H, inspectors are required to inform the owner of a treatment system and the relevant water services authority of the results of the inspection.

Where a water services authority receives notification that a treatment system is causing or is likely to cause a risk to human health or the environment, the water services authority must issue an advisory notice to the owner within 21 days. An advisory notice will state that the water services authority considers that the particular treatment system is, or has potential to be, for stated reasons, a threat to human health or the environment. The notice will direct the owner to take the necessary remediation measures and will specify a timeframe for completion of those measures. Where remediation measures are required, all options available will be considered. These will take into account issues such as the exact nature of the problem, the size of the site and the extent of the risk to human health or the environment. Failure to comply with the provisions of an advisory notice within the specified timeframe will be an offence.

This section also provides for an appeals mechanism for persons who do not agree with the provisions of an advisory notice. On payment of a fee to be prescribed, an appeal of an advisory notice can be requested. There is a legal requirement to set a maximum limit on fees in primary legislation. During the debate in the Seanad, I indicated my intention to amend this section to reduce the maximum fee for appeals to €20 and I will table this amendment on Committee Stage. The section provides that where an advisory notice is cancelled following an appeal, the fee will be refunded.

On receipt of an application under this section, the water services authority will arrange for the re-inspection to be carried out by an authorised person appointed by the water services authority. The re-inspection process will either confirm the provisions of the advisory notice, revise those provisions or set aside the advisory notice. If necessary, a revised advisory notice will be issued. Section 70H also provides for an appeal to the District Court in certain limited circumstances by a person aggrieved by an advisory notice issued after a re-inspection has been carried out. The section also sets out actions to be taken by a person on whom the advisory notice has been served and by the water services authority once remediation works are carried out.

Section 70I provides for the EPA's supervision of water services authority functions for the purposes of this Part. The EPA can issue directions to the water services authorities to ensure that they are carrying out functions assigned to them under the Bill in an effective manner. The section also provides that the agency can direct the water services authorities to maintain records regarding registrations, inspections carried out, advisory notices issued and prosecutions initiated and to submit those records to it. The EPA is required to keep records regarding its supervisory role and of directions issued to water services authorities. Water services authorities must comply with directions issued under this section; failure to do so will be an offence.

Section 70J provides for the issue of directions by the EPA to inspectors and that inspectors must comply with those directions.

Section 70K deals with the preparation, by the EPA, of a national inspection plan regarding the inspection of domestic waste water treatment systems. It sets out the issues to be considered by the agency when drawing up the plan. The section also makes provision for the revision of the plan. Water services authorities will be required to give effect to the plan and failure to do so will be an offence. The section outlines the criteria the EPA should take into account to when preparing the inspection plan and, in particular, risk or potential risk to human health or the environment. The risk-based approach to inspections and monitoring is consistent with the agency's overall policy and approach to environmental enforcement and is consistent with international best practice. The first inspection plan will be developed by the EPA in 2012 and inspections of systems will commence in 2013.

Section 70L provides for the making of regulations for the purposes of Part 4A and sets out some of the issues that may be dealt with in those regulations, including the performance standards for treatment systems. Performance standards will vary according to the age and type of on-site system in place and I emphasise again that there is no question of imposing the standards set out in the EPA's 2009 code of practice on older septic tanks. The EPA's code is primarily concerned with new developments. Regulations will also deal with the standards and procedures to apply where domestic waste water treatment systems are emptied and the contents disposed of. This is an important aspect of the waste directive.

Section 70M provides for the penalties for offences under the various sections of the Bill. These are proportionate and reflect the seriousness of the risk to public health and the environment posed by inadequately maintained or malfunctioning on-site systems.

This legislation is necessary to ensure Ireland complies with a ruling of the ECJ and the timing is critical, as we are facing the imposition of fines and penalties for non-compliance. The legislation is equally important, as it will establish additional protections for public health and for the environment. There has been much speculation and scaremongering about the Bill and what it will mean for households in rural Ireland. People living in the countryside need have nothing to fear from it because, on the contrary, it will benefit rural dwellers, improve water quality and serve to improve the quality of the countryside and the quality of life in the countryside.

I look forward to engaging with Members on the provisions of the Bill and I commend it to the House.

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