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

The Deputy is welcome to the Chamber. The criteria used to assess the relative merits of an existing utility versus a greenfield operation meant the Government gave consideration to existing semi-State companies. In order to leverage savings and their capability, the Government considered Bord na Móna and Bord Gáis Energy on the grounds of certain criteria, including legal and governance, regulatory or transitional or criteria for dealing with customers, as Bord Gáis was. I suppose that was the overriding advantage as to the reason Bord Gáis was able to deal with the setting up of a new public utility such as Irish Water. It was able to compete better across the range of approximately ten or 12 headings in the view of NewERA and the Department in taking on these new responsibilities. Moreover, by leveraging this expertise and these skills, as well as the software and hardware systems Bord Gáis already had in place, it was possible to save €87 million. This is not a stand-alone entity but is being set up within the local government system through service level agreements and the Bord Gáis group. I agree with the Deputy that the workers of local authorities are doing a great job. They will continue as local government employees with the expertise and knowledge and in the role they have had during the years. Obviously, this will be subject to review each year as part of the service plan.

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