Alan Kelly (Tipperary North, Labour) | Oireachtas source

The provision being introduced is to facilitate the more efficient transfer of water service assets and liabilities from the various local authorities. Under the current legislation enacted in 2013, the Minister may designate by order water services property for transfer to Irish Water. Liabilities, including loans, relating to any such property would also automatically transfer at the same time. However, section 10 provides that where the Minister makes an order to provide that the water services property is transferred from a local authority to Irish Water, any financial loan associated with that property is not automatically transferred. In preparing for the transfer of assets and loans and considering that aspect it became apparent there were some issues which meant that an automatic transfer in all cases would not necessarily be possible. This must now be reflected in the legislation. For example, some of the loans taken out by various local authorities did not automatically and absolutely state the assets exclusively to which they belonged. There are some related issues and the amendment is necessary to ensure it is not done automatically and can be done on a case by case basis.

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