Seanad debates

Wednesday, 18 April 2012

3:00 am

Photo of Sean BarrettSean Barrett (Independent)

Yesterday in the Irish Examiner, a chartered engineer, Mr. Kevin Murray, estimated that the average consumption per house is 150 cu. m. At estimated current prices, this is worth €345. Mr. Murray questioned the point of having a €400 meter when the annual bill is only €345, particularly for small users. Lone small consumers should not only be exempt from the water charge but also from metering. Mr. Murray writes about a pointless exercise: if one cuts one's consumption by 10%, one saves less than what it would cost to install the meter. There is a difficulty arising in that regard. The purpose of the article is to suggest the Government should start with the big customers, bigger houses and those with bigger lawns and then work down towards those in small housing units, whose consumption is quite low. The latter will not be able to achieve the savings that would make the meter worthwhile.

I am concerned over the choice of Bord Gáis Éireann to run the company. The evidence from the National Competitiveness Council and the Forfás report is that Irish gas is substantially more expensive than that in the United Kingdom. The figures in the Forfás report of December last suggest that what will cost one between €6 and €8 in the United Kingdom will nearly always cost above €10 in Ireland. How did Bord Gáis Éireann, which is uncompetitive by UK gas industry standards, manage to impress the Cabinet so much?

My third concern relates to the energy regulator. We have high gas and electricity prices. The regulator is supposed to protect us from water prices and the charge for the meter. The regulator believes the head of the ESB should be paid four times more than the Taoiseach. I hope that does not set a precedent when he is looking for the cost base of Irish Water. It would be unacceptable to all in the House if yet another massive pay bill were created by the setting up of Irish Water. I want the Leader to discuss those points with his colleagues in the Cabinet.

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