Phil Hogan (Carlow-Kilkenny, Fine Gael)

The memorandum of understanding with the EU, IMF and ECB commits Ireland to introducing water charges for households during the programming period. However, no decision has been taken by the Government on the exact date for the introduction of water charges.

The Government considers that charging based on usage is the fairest way to charge for water and it has decided that water meters should be installed in households connected to public water supplies. International evidence has shown that where meters have been installed significant reductions have been achieved in the level of consumption and this is also borne out by the water savings achieved with metering in the group water sector, which have been up to 30% in some cases. Irish Water, a new State-owned water company to be established as an independent subsidiary within the Bord Gáis Éireann Group, will be responsible for the metering programme.

The Government has also decided to assign responsibility for the economic regulation of the water sector to the Commission for Energy Regulation. The primary role of the regulator will be to protect the interests of customers and to ensure a consistent and appropriate level of service is provided to customers. The framework for water charges will be determined as part of the regulatory process.

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