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Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Irish Water is often compared to Scottish Water. In regard to standing charges, in the UK they use a standing charge that is related to one's rates. The regulator would not envisage that the standing charge would be related to property tax in Ireland.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: That is the model that is used in many other countries.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: That is the model that is used elsewhere.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Does Mr. Tierney have any thoughts on the submission?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: That will be in March. Will that submission be put online to allow members of the public to see it?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: On the water charge plan submission in June, at that stage there is an expectation that Irish Water will submit what it envisages would be the cost per 1,000 litres.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: The earliest the consumer will get an idea of what their indicative charge will be per 1,000 litres will be when that submission is received in June.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: How long will that consultation period take?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Realistically, it will be the end of July or the start of August before consumers will know what the price per litre will be for them.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: There has been a huge focus on cost per litre but I would imagine there is much more involved in the regulation of Irish Water than just cost. In terms of what happens across the Irish Sea, targets are set. Will Irish Water set targets for leakage, for example? We are doing a combined drain, and therefore targets are set for sewer flooding. In the wastewater treatment plants targets are...

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Mr. McGowan is looking at a settling-in period of about two years, following which he will then consider setting targets for leakage reduction, lead pipe replacement, sewer flooding, etc.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: This question is for Mr. Tierney. I have asked parliamentary questions previously to seek some clarity on the bonus structure. I take his point of clarification about cases in which there is no increment payment to staff, etc. However, a reply to a parliamentary question indicated that the bonus structure operates somewhere between 3% and 14%. What is the structure of the bonus repayment?...

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: The higher the salary the larger the bonus if the person reaches their targets.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Somebody on €100,000, therefore, could get a €14,000 bonus and somebody on €20,000 will get a fairly miserable bonus if they hit their targets.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: I raised the issue of recruitment yesterday. A number of positions were advertised in Irish Water. Some Bord Gáis employees applied for those, got them and transferred into those positions, but at a higher salary than that at which the jobs were initially advertised. Did that happen, and if it did, how many people were involved?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: What was the salary rate for those ten jobs that were advertised?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: I believe they were advertised at approximately €50,000.

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: I have a question for the Bord Gáis representative. Were the staff who transferred to Irish Water replaced? If so, at what salary rates were they replaced?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: Mr. Barry might come back to me on that, because my concern is that Bord Gáis used it as an opportunity to downsize its own costs and move them on to Irish Water. I would like some reassurance that this did not happen, and I would like to see the costs and the analysis in that regard. Could Mr. Barry provide that to me?

Joint Oireachtas Committee on Environment, Culture and the Gaeltacht: Standards of Service in Water Supply: Irish Water and CER (11 Feb 2014)

Kevin Humphreys: I accept that. The example given to me was that the job was advertised at approximately €50,000. A Bord Gáis staff member applied for that job and transferred into it at a salary of approximately €70,000. Irish Water might have had many more applications for that position if it had been advertised at €70,000 rather than €50,000. I ask the regulator to...

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