Dáil debates

Thursday, 4 December 2014

Water Services Bill 2014: Second Stage

 

11:10 am

Photo of Alan KellyAlan Kelly (Tipperary North, Labour) | Oireachtas source

The section, which makes amendments to the Social Welfare Consolidation Act 2005 and the Social Welfare and Pensions Act 2014, will be commenced by the Minister for Social Protection following consultation with the Minister for the Environment, Community and Local Government. This deferred commencement is necessary to ensure Irish Water can complete the work of deleting any PPS information it had previously been provided with. This exercise is under way and is being carried out in accordance with a protocol that Irish Water has developed in consultation with the Office of the Data Protection Commissioner.

Section 12 of the Bill provides that public water services properties shall not be rateable. The section provides that land used for the provision of public water services is not rateable for the purposes of the Valuation Act 2001. The exemption will apply to Irish Water for the provision of water supply and wastewater treatment and to group water supplies. From a financial perspective, the changes arising from the provisions in the Bill will involve a reduction in revenue for Irish Water of €21 million in 2015 and €56 million in 2016. However, Irish Water's costs will also be reduced as a result of the approach to the treatment of water infrastructure for commercial rates purposes, such that a subvention does not need to be paid to Irish Water to fund this cost. Equivalent support, estimated at €59 million, will be given directly to the local authorities through the local government fund.

Section 13 of the Bill provides for an increase in membership of the board of Ervia. The purpose of this section is to provide for an increase in the maximum number of members who may be appointed to the board of Ervia. The measure is part of a reorganisation of the corporate governance structures of Ervia and of Irish Water. A single non­executive board at Ervia level will be responsible for the governance of both companies. The increase in the maximum number of members will ensure that the board has adequate water services experience and expertise.

Section 14 of the Bill is a standard provision to permit the Minister to make regulations to prescribe any matter referred to in the Act as "prescribed" or "to be prescribed". Section 15 of the Bill is a standard provision providing that any expenses incurred by the Minister in the administration of the Act shall be paid out of moneys provided by the Oireachtas, subject to the sanction of the Minister of Public Expenditure and Reform. Section 16 is a standard provision to provide for the Short Title and provide that the Water Services Acts 2007 to 2014 may be cited as such and construed together as one.

In summary, significant progress has been achieved. The structures that have been put in place to date will serve to ensure we have clean, reliable water supplies for our communities and our economy, and adequate wastewater treatment to protect public health and our environment for the long term. The next step is the introduction of a fair and affordable system of water charges and a more robust governance structure for the company that we have entrusted with delivering such a vital public service. The Government recognises that charges must be simple, fair and affordable. People are entitled to clarity on how much their charges will be for the coming years while being given an incentive to conserve water.

The package legislated for in the Bill achieves these objectives.

Approximately 920,000 households have responded to Irish Water's customer application campaign so far. I am delighted with the number who have signed up in recent weeks. The Government has sought to address the concerns of those who have registered and those who have yet to do so. We are simplifying the level and structure of domestic water charges and have achieved a great deal in this regard. We are addressing the genuine public concerns about the governance, ownership and operations of Irish Water. I look forward to a valuable debate on this legislation in the next two days and commend the Bill to the House.

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