Michael Moynihan (Cork North West, Fianna Fail)
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Question 7: To ask the Minister for the Environment; Community and Local Government the plans he has in place to ensure an effective and cost efficient billing and collection system for water charges when they are introduced; and if he will make a statement on the matter. [15602/11]

Denis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 14: To ask the Minister for the Environment; Community and Local Government the timetable for the establishment of Irish Water; and if he will make a statement on the matter. [15485/11]

Denis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 44: To ask the Minister for the Environment; Community and Local Government the timetable for the establishment of Irish Water; and if he will make a statement on the matter.

Liam Twomey (Wexford, Fine Gael)
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Question 51: To ask the Minister for the Environment; Community and Local Government the way he intends measuring leakage prior to water reaching the consumer; the steps he will take to penalise wastage by the new water management company if it fails to deal with water wastage on its infrastructure; and if he will make a statement on the matter. [15404/11]

Fergus O'Dowd (Louth, Fine Gael)
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I propose to take Questions Nos. 7, 14, 44 and 51 together.

The programme for Government provides for the introduction of a fair funding model to deliver clean and reliable water. The objective is to install water meters in households and move to a charging system based on usage above a free allowance. The Department of the Environment, Community and Local Government is currently preparing a strategy to implement these proposals, including the funding of the metering programme and the installation of the water meters. No consultants have been employed by the Department in developing these proposals. Further details will be made available following Government consideration of the proposals.

The 34 county and city councils are responsible for the billing and collection of water and wastewater charges for non-domestic customers. In recent years some councils have been experiencing difficulties collecting charges from non-domestic customers. My Department is working closely with the councils in order to improve the rates of collection of charges from the non-domestic sector.

The programme for Government also proposes the establishment of a new State-owned water company. The memorandum of understanding between Ireland and the European Union and International Monetary Fund commits Ireland to undertaking an independent assessment of the establishment of a water utility. Consultants are currently being appointed and will shortly commence work on this assessment, which will examine the optimum role of the new company and will assist in defining the functions to be assigned to it. The expenditure for this consultancy is being met from within the Department's budget for consultancy services. Issues such as the approach to billing and revenue collection will be considered in the independent assessment due to be completed by the end of October this year. It is intended that the outcome of the assessment will be considered by the Government, together with proposals for the establishment of Irish Water, before the end of 2011.

Addressing leakage and reducing the levels of unaccounted for water are critical for the delivery of more efficient services. The water services investment programme provides for a significant acceleration in the level of investment in this area, providing for contracts with a total value of some €321 million to commence in the period 2010 to 2012, which is more than double the level of investment over the previous decade. It is estimated that these contracts will allow for the replacement of 640 km of mains or about 3% of the public national network. The installation of water meters in households will complement this investment and facilitate more effective management of the water distribution networks.

Niall Collins (Limerick, Fianna Fail)
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I thank the Minister of State for his reply. We have already heard much today about water but I will recap. There is a great concern in the local authority sector about the establishment of this new company, Irish Water, because thousands of people are already employed in the provision of water services across the local authority sector. These people have real jobs contributing significantly to Irish society through dedicated work.

Will the Minister of State give a guarantee that everybody engaged in the provision of water services across the local authority sector will not lose employment when Irish Water is established? With regard to billing and collection, will the Minister of State give the Irish people any degree of information on a waiver that may be obtainable for people who are unemployed, on low incomes, sick, or people with disabilities or who have children? There is much concern about the advent of water charges coming down the tracks and people want to know if any light can be thrown on the issue at this point.

Fergus O'Dowd (Louth, Fine Gael)
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Approximately 4,000 people are currently working in the water services programme, with 4,000 others providing ancillary services. The installation of meters will provide jobs for 1,500 to 1,800 people each year for at least three years. We will have more people working than ever before.

The Deputy asked what will be Irish Water, and that question will be answered in the report. Recommendations will be made which will not be binding on the Government and when the Minister gets that report, certainly by October this year, there will be absolute clarity as to what Irish Water will be doing. Recommendations may even indicate a possibility of an existing semi-State entity becoming Irish Water. There could also be a completely new programme. The question of employment is critical and more people, rather than fewer, will be working in water services because of our future investment programme.

Niall Collins (Limerick, Fianna Fail)
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I also asked about a waiver from the payment of water charges for people on low incomes, those who are sick and people with disabilities. Will the Minister of State throw any light on that?

Fergus O'Dowd (Louth, Fine Gael)
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When the details are made available they will be made public and the Government will consider all aspects of the report. I did some research on other countries and many do not provide a free allowance. It is clear that within each home that will pay for the service, there will be an opportunity to reduce water consumption and the consequent bill. All of those issues must be dealt with and a decision has not yet been made. When a Government decision is made, there will be a discussion in the Dáil.