Brian Stanley (Laois-Offaly, Sinn Fein)

The Government would have us believe that water metering reduces consumption. This is untrue. In England, where water metering has been in place for many years, consumption is at 158 litres per day per head of population while in Dublin the consumption is 148 litres per day even taking into account all the leaks. It transpires that one third of households in Dublin cannot be installed with meters and this is also the case in many parts of the country for various reasons. If water meters equal water conservation then the Minister will have to deal with a serious problem. According to that logic, one third of homes in the capital will have no incentive to conserve water because a flat rate will have no impact on water conservation.

The establishment of Irish Water and the introduction of water meters was brought through the Houses of the Oireachtas in the most underhanded way. The working group has yet to report. The report on the water sector still remains in draft form and is not available to the media. Yet, Cabinet members have been commenting on and promoting the introduction of water charges. I participated fully in that working group and I made a detailed submission with ten solution-based recommendations. However, I am now left with no option but to resign from that working group because the process has been undermined. The work of the group has been undermined by the spin doctors and by the Cabinet.

We in Sinn Féin fully understand the challenge that lies ahead for the water sector. However, rather than dealing with the challenge of getting water to those who need it, this Government has used the water crisis as an opportunity to promote its right wing agenda of charging ordinary people for the use of something they already own and for which they pay with their taxes. Unfortunately, the Labour Party has moved from actively opposing water charges before the election to becoming cheerleaders for this form of double taxation. Our approach is different. It is based on ensuring that water provision remains in public ownership and paid for through progressive taxation.

We propose two simple but immediately effective planning recommendations. We recommend the introduction of rainwater harvesting in new buildings to reduce water consumption by one third. Dual flush toilets should be mandatory in new buildings and in replacement buildings. This would reduce personal consumption by nearly 20 litres a day and would not incur extra costs for the taxpayers.

This Government would be far better off investing money from the National Pensions Reserve Fund to create real jobs that will have a positive legacy. The money being wasted on meters should be invested in upgrading an ageing, leaking water distribution system. The Minister and the Taoiseach stated in the House last week that 2,000 jobs will be created and this is to be welcomed. In my view, the money wasted on the installation of water meters should be invested in the upgrading of the ageing water system and in the repair of leaks in the distribution system.

Currently the water sector is managed by the 34 local authorities. The move to Irish Water will not improve accountability or governance. Local authorities are accountable to their communities. They are able to meet local demands and can provide solutions to local crises and emergencies. This was proved in the harsh winters of 2010 and 2011 when the local authorities responded better than the response of the single utility company in the North and which is more than an arm's length from government.

Like SIPTU, Sinn Féin is concerned that the proposal to move 4,000 workers from local authorities into Irish Water will mean redundancies and a further loss of experience and talent. This is echoed in the PWC report which states "...when Irish Water has fully taken over all water services from the local authorities in 2018, numbers will be significantly lower than the 4,278 deployed today".

The PWC report highlights the strengths of the current structure:

Services are managed by bodies that are close to customers and are democratically elected. Water sector development can be consistent with Local Authority Development Plans; [They have] an experienced local workforce; Central co-ordination and prioritisation; Track record of successful delivery of capital projects and providing continuity of service, delivering to a growing population; Clear accountability for water and wastewater quality; Ability to mobilise local resources at times of need.

Sinn Féin believes that the current governance arrangements are sufficient for managing the service, albeit with considerable improvements. It is to be hoped this can be achieved through local government reform. A single utility is not the best or most cost-effective way to manage the service.

As regards democratic accountability, if I wish to contact Bord Gáis, I can ring a call centre at 1890 312 312. This is what will face Deputies and county councillors. This will be the level of interaction. Nowhere can we find details of how Irish Water will be financed or how much it will cost to establish. Current reports are based on nothing more than assumptions. The PWC report for the Department states:

The funding requirement is an estimate of what the utility will need to support its activities. Our scope of work does not specifically include the evaluation of how that funding requirement should be met.

Sinn Féin calls for the establishment of a national water sector framework team overseeing governance of the water sector and capital investment for the sector. It would be composed of city and country managers and be convened and chaired by the Secretary General of the Department of the Environment, Community and Local Government.

According to the Irish Academy of Engineering, the cost of meter installation will be at least €500 million. This €500 million would fund the water conservation strategy for six years. It would be far more appropriate to invest the €500 million in water conservation rather than meter installation, thus saving water and public money.

Sinn Féin supports the introduction of district metering as opposed to installing domestic water meters in every household. This is already in place in a number of local authorities and is cheaper and more effective in monitoring usage and identifying leaks. In County Laois it will be fully rolled out this year. A water keeper from the Minister's county identifies the leaks very quickly. He has an efficient method for identifying leaks in the system. It is not the householder but the water distribution network that is the biggest culprit when it comes to water waste. The State's water distribution network is antiquated. In some local authority areas up to 60% is leaking away. Capital investment in water has been cut by nearly €200 million since 2010 to €331 million in 2012, with more cuts planned until the budget is reduced to just €266 million. With average leakage at a staggering 41%, there needs to be an increased level of capital spending on the State's water infrastructure. The Department of Environment, Community and Local Government must return to at least the 2011 level of capital spending. There needs to be a Government-sponsored drive towards water metering in the context of overall Government policy. When poverty levels and income distribution in Ireland are taken into account, it is obvious that water charges have a greater impact on low income households and their budgets. Water charges must be considered within the context of the other additional costs faced by householders such as a flat rate household charge of €100; septic tank charges; an increase in the carbon levy of €5per tonne; a reduction in the fuel allowance from 32 weeks to 26 weeks; a 2% VAT increase. In England the cost of water for a household is £600. While the Minister's proposals are focused on the domestic householder there is no mention of the debt owed by the commercial sector where only 52% of water rates are collected. It appears that household are being penalised for the lack of building regulations, leaking pipes and poor governance.

The Government and the local authorities must take action on the outstanding water rates owed to the State by the commercial sector. The crisis facing water supply does not start or finish at the Border. Recognising that river basin districts cover both sides of the Border, it is essential that there is co-ordination of the water sector. We need to develop an all-Ireland strategy on water provision. There is a requirement on both the Northern Assembly and the Government to collaborate on the delivery of services where shared resources, joint capital investment in infrastructure and procurement, among other matters, on an all-Ireland basis, would clearly prove beneficial.

The establishment of Irish Water along with the imposition of water meters and water charges is at best ill-thought out and at worst is driven by Fine Gael's right wing agenda and supported by a limp Labour Party. The Government fails to realise the level of anger that exists on this issue. Water charges will be opposed at every opportunity both here in Leinster House and out in the community. A wide range of charges have been imposed and people are at breaking point. Water meters and water charges will be resisted every inch of the way by Sinn Féin and the general public.

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