Finian McGrath (Dublin Bay North, Independent) | Oireachtas source

I thank Senators Burke and Mulherin for raising this important issue. I also thank Senator O'Mahony for his support. The points they raise are relevant particularly to the recent debate in the Dublin area.

On 8 February this year, the Minister for Housing, Planning and Local Government announced details of the measures being funded through his Department under the Multi-annual Rural Water Programme 2019-2021. In parallel with the announcement local authorities were invited to submit bids for funding schemes or projects in their functional areas, with the deadline for receipt of proposals set as 14 March 2019.

The new multi-annual programme includes measure 4 - new group water schemes. This measure supports social and economic development in rural towns and villages and their hinterlands by providing new group water schemes where public water supply schemes or individual or private wells are not the most viable options.

Mayo County Council made a number of bids under measure 4, including for a proposal for a Letterbrick group water scheme. The estimated cost of the proposed 24-house scheme was €469,000, or €19,542 per house. An expert panel was put in place to support the Department in its bids evaluation process. In addition to providing an expert perspective, the panel brought independence, openness and transparency to the bids evaluation process, which was done on a national prioritised basis. The panel's membership included departmental, stakeholder and independent representations. The panel made recommendations to the Minister on the suitability of schemes and projects for funding based on objective criteria, which were set out in the framework document issued to local authorities when requesting proposals. In particular, the framework sets out that grants of up to 85% of cost are available for new group water schemes subject to a maximum grant of €7,650 per house. This means that the effective financially viable cost limit per house for a scheme is €9,000. A supplemental grant can be considered in exceptional cases, subject to the recommendation of the panel and departmental approval.

The panel, in considering the bid for the proposed Letterbrick scheme, concluded that at €19,542 per house it was not financially viable when viewed against the criteria in the framework. In the circumstances the panel did not recommend a supplementary grant. The panel recommends that the local authority engages with the promoters to consider alternative lower cost solutions for example, private wells for which, subject to terms and conditions, a separate grant is available. The private wells grant under the rural water programme can be accessed through the local authority, to assist with the necessary improvement of an individual water supply to a household.

In approving the new multi-annual rural water programme, the Minister also approved an improved and increased private wells grants scheme to replace the existing scheme. It is expected that the procedures for applying under this new scheme will be completed shortly when the necessary regulations dealing with the financial assistance arrangements and related administrative matters are put in place. This will enable circular letters, terms and conditions, guidance and the application forms to issue to local authorities shortly thereafter. I again acknowledge the interest of the Senators in this matter and I appreciate their interest in the water supply for County Mayo. I will bring their concerns to the Minister.