Seán Sherlock (Cork East, Labour)
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The issue I am raising concerns the pending case against Ireland by the European Commission at the European Court of Justice in regard to the failure by the State, between 2000 and 2005, to meet deadlines set for the upgrading of existing sewage treatment plants and completion of new plants. That failure is affecting 38 towns throughout the country, including Cork city, Fermoy, Mallow, Midleton, Ballincollig, Ringaskiddy, Youghal and Rathcormak in County Cork; Gweedore, Killybegs and Ballybofey in County Donegal; Tipperary, Roscrea and Thurles in County Tipperary; as well as, among others, Kilkenny, Dundalk, Enniscorthy and Killarney. Ireland had until the end of 2005 to ensure any urban area with a population base of more than 15,000 had adequate sewage treatment facilities to prevent discharges from those medium-sized towns into rivers, lakes and estuaries. It is a public health issue.

We are experiencing some turmoil in this House at the moment on the issue of water charges. In that context, I am concerned there may not be enough capital funding available to complete sewage and wastewater treatment plant upgrades. Irish Water has estimated that all sewage treatment plants will be upgraded by 2021, at a slated cost of €1.2 billion. In the current climate, however, with the ongoing debate on water charges, it seems likely there may be slippage on that target. Will the Minister give an assurance to the affected towns that they will have access to reliable, adequate and safe wastewater and sewage treatment plants? Will he further guarantee there will be no slippage in the budget line and that the targets which need to be met by 2021 will continue to be met?

Damien English (Meath West, Fine Gael)
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I thank the Deputy for raising this matter and allowing me to clarify the issues he has outlined. The urban wastewater treatment directive mandates the required standards for the collection and treatment of wastewater from urban areas. The various deadlines for meeting the requirements of the directive passed some time ago, with the latest deadline being 31 December 2005. By that date, secondary treatment of wastewater should have been provided for all agglomerations with a population equivalent of more than 2,000 where the treated wastewater is discharged to rivers, lakes or estuaries. As such, the issue of compliance with the requirements of the urban wastewater treatment directive is a long-standing problem.

The European Commission commenced an infringement process against Ireland regarding its implementation of the directive in September 2013. This was followed by a supplementary letter of formal notice in September 2015. A reasoned opinion was then sent by the Commission on 30 September 2016, with the case being referred to the Court of Justice of the EU on 15 February 2017. The supplementary letter of formal notice of September 2015 identified compliance concerns for a total of 82 agglomerations. However, communications with the Commission as part of the infringement process have satisfied it that 44 of those 82 agglomerations should be removed from the case. While this indicates some progress has been made in improving compliance, 38 agglomerations remain of concern to the Commission and have been referred to the Court of Justice of the EU.

Since taking over responsibility for water services in January 2014, Irish Water has put in place a prioritised range of projects to deal with the historic deficits and lack of investment in wastewater collection and treatment across the country. Irish Water has identified key projects, in both its current and recently approved future capital investment plans, to address all instances of non-compliance in its wastewater treatment plants by 2021 for each of the areas identified by the Commission. The cost of these works is estimated at €1 billion. With regard to the specific locations to which the Deputy referred, in some cases, such as Fermoy, Mallow and Ballincollig, wastewater treatment is in place and resulting in compliant effluent.

However, works on the wastewater collection systems are planned by Irish Water to ensure that the collection systems convey all wastewater for appropriate treatment.

The Cork lower harbour main drainage project is of particular significance. Operations commenced at the new treatment plant in Shanbally at the end of 2016, providing full treatment of wastewater from Carrigaline, Crosshaven and Shanbally. The areas of Cobh, Passage West-Monkstown and Ringaskiddy will also be served by this new treatment plant at various dates in the future.

Investment by Irish Water in ensuring compliance with the requirements of the urban wastewater treatment directive is only one aspect of what is required in terms of the provision of wastewater services. Further significant and sustained investment will be essential to ensure ongoing compliance, facilitate future population and economic growth and protect the environment and human health.

The Deputy is right to raise the matter, as the House will debate the future of water in March and April on foot of the committee's report, which is due soon. Often, we forget that this issue also involves wastewater. People say that there is a right to water, but there is also a responsibility to deal with wastewater. It is a major cost. It is important that the investment plan that has been agreed with Irish Water is continued. There is a commitment from the Government, with the House's support, to continue that investment plan regardless of the debate on charges. The EU is conscious of the fact that our investment plan through Irish Water is helping us to address the issues that arise, which is essential for environmental purposes.

Seán Sherlock (Cork East, Labour)
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I thank the Minister of State for engaging with me on this issue and I recognise that blame is laid at successive Governments' doors. We have not tackled this issue as a country in as proactive a way as we should have.

If we are to have a debate on the future of water and wastewater treatment services, I am not convinced that the current investment plan will be followed through and that the Government can guarantee that capital expenditure will be made available to meet the needs of the remaining 38 towns and agglomerations identified by the European Commission. We must ensure that the capital expenditure is locked down regardless of the outcome of the committee's deliberations when it reports to the House. This is a public safety issue, one in which the health of our citizens comes into play, and we need to maintain an investment plan. There has never been a more opportune time to do so.

I worry that water and wastewater investment will slip down the agenda. If it competes with, for example, capital expenditure on roads, schools or hospitals, all of which are necessary, it will become the poor relation even though it is most vital to our needs. I hope that we can continue to ensure that the budget of €1 billion plus for the investment plan is locked down so that the 2021 target can be achieved and the needs of the 38 towns and agglomerations will be catered for.

Damien English (Meath West, Fine Gael)
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I share some of the Deputy's concerns. The idea of introducing a single water utility in the form of Irish Water was to drive the necessary investment in the water and wastewater infrastructure that had been lacking for many generations. Thankfully, the previous Fine Gael-Labour Government and the current Government of Fine Gael and Independents supported by Fianna Fáil and others have recognised the importance of having a single water utility to drive the agenda of continuing investment in key, necessary infrastructure in the right parts of the country. I am happy to say that this will continue, given that the single water utility is protected and, with the agreement of the House, will continue its work separately from the arguments around charges and so on.

Establishing a utility was also meant to ensure the capacity to raise money via charges and taxation and in the form of borrowings that would be repaid through general taxation and people's contributions towards the cost of water. The polluter pays principle drove that. Under it, those who used water excessively or wasted it would contribute towards its cost, and rightly so. I referred to this matter last night.

Our capital investment requirements reflect the amount of water that we need and consume. If we found ways to conserve water, reduce consumption and encourage people to respect water better, which is often helped by having a metering system of some sort as well as a charge for excessive use, it would drive down the capacity requirements. In many areas, 40% of water is lost to the system through leakage and, in some cases, wastage. If we had a proper regime in place that could monitor and measure that, we would be able to prevent it and, therefore, invest less money in the capacity generation of water and water treatment plants. Investment in wastewater treatment is essential, but the requirement for that would be lessened if we could reduce water wastage.

It is important that investment be protected. I share the Deputy's concerns about there being no mechanism to guarantee it, but this Government has committed to it and other Governments might follow suit. We must continue the investment.

Seán Sherlock (Cork East, Labour)
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Is the €1 billion secured?

Damien English (Meath West, Fine Gael)
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The capital plans have been proposed by Irish Water and we are committed to that investment. It is secure at this stage.

Seán Sherlock (Cork East, Labour)
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Regardless of the charging regime?

Damien English (Meath West, Fine Gael)
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It is secure under this Government. We believe in the value and importance of investing in that. A commitment has been made and we will continue with the plans that have been agreed with Irish Water. There will be a discussion on the future of water and wastewater, but I hope that the House has a reasonable debate and the polluter pays principle takes precedent.