Phil Hogan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

I thank the Deputy for raising this issue. I am conscious of the good work done by group water schemes throughout the country and the amount of work that goes into putting them in place.

Between 2000 and the end of 2012, my Department, under its rural water programme, provided almost €770 million towards the capital cost of improving existing group water schemes and the provision of new group water schemes. This is evidence and proof of how the group water sector is valued by the State. I am glad to say this investment is continuing and that this year alone a further €20 million has been notified to local authorities by way of block grant allocations under the rural water programme for group water schemes. The Deputy's county, Mayo, is one of the biggest beneficiaries of this funding, having been notified of block grant allocations not of €200,000, as said by her, but €3.45 million towards group water schemes. Nevertheless, I am aware that further work needs to be done and that there is a need for continuing investment in the group water sector towards improvements necessary to allow schemes provide water to required standards.

There are particular issues in putting in place some new group water schemes where the costs involved call into question their viability. I am sure the Deputy has mentioned some of these. At present, grants of up to 85% of the cost, subject to a maximum grant of €6,475 per house, are available towards new group water schemes.

The National Rural Water Services Committee which has a role in advising me on policy and investment in rural water services has been considering this issue and I am expecting to receive some feedback from it by the end of the year. I will then give serious consideration to suggestions the committee may make with a view, if possible, to improving the situation in the areas mentioned by the Deputy that were originally funded under the CLÁR programme.

CLÁR funding was part of a targeted investment programme launched in 2001 and aimed at tackling deficits in physical, economic and social infrastructure in depopulated areas. It was a mechanism of co-funding arranged through Departments, State agencies and local authorities to accelerate investment in the targeted areas. CLÁR worked by leveraging co-funding for various measures from Departments, various State agencies and local authorities. At its height, the programme had an annual allocation of over €20 million. However, decisions had to be made in the Department of Finance in July 2010. In the capital expenditure review it was agreed to wind down this portion of the scheme. In the light of what I have said about the National Rural Water Services Committee examining the matter between now and the end of the year, I will determine what can be done to make additional funding available, if possible, to make up for the CLÁR funding in the finite number of areas that comprise areas of depopulation, as mentioned by the Deputy.

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