Tony Mulcahy (Fine Gael)
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I welcome the Minister. The matter I wish to raise is self-explanatory. I am seeking an update on the Shannon water treatment plant. Difficulties have arisen because the plant has reached maximum capacity. There are many reasons for this, including the fact that one local pharmaceutical company pumped large volumes of material into the river in recent years and that leachate seeped into it from a dump in the area. It is a matter for the Environmental Protection Agency, EPA, to indicate how it facilitated that. The biggest issue which arises in the context of Shannon is that, at present, it would not be possible for a prospective employer to set up operations there and, for example, create 200 jobs. This is because the water treatment plant has no additional capacity and planning permission could not be granted. In the past six or seven years, horrendous smells have wafted through the town at intervals. We want to find a permanent solution to this problem, which has been already been raised with the Minister elsewhere. I await his reply.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I thank Senator Mulcahy for raising this issue and providing me with the opportunity to set out the position in relation to the Shannon sewerage scheme. This was included as a scheme at planning in my Department's water services investment programme for the period 2010 to 2013. I approved the commitment of the necessary capital funding of just over €1 million to allow Clare County Council to complete the tender formalities with the successful tenderer in respect of an advance mechanical and electrical contract to upgrade four pumping stations on the scheme. I understand from the council that this contract was signed in December 2013 and that operations in respect of this advance works contract will commence in March 2014.

In October 2012, my Department wrote to Clare County Council informing the council that the preliminary report for the Shannon sewerage scheme was not approved since the council had to address detailed technical issues in respect of storm water run-off ingress, re-evaluation of the collection system and implementation of the composite sampling programme recommended for the treatment plant and monitoring of the discharges. The council was also advised to take cognisance of all additional statutory obligations that had come into effect since the completion of the preliminary report. A response to this request from Clare County Council was received in my Department last October and the follow-up to this response will be dealt with by Irish Water.

The Water Services (No.2) Act 2013 transferred statutory responsibility for water services from local authorities to Irish Water and provided for local authorities to act as agents for Irish Water, with this relationship being expressed through service level agreements. Since 1 January 2014, Irish Water has been responsible for the delivery of water services capital infrastructure. Irish Water is preparing its capital investment plan for 2014-2016 which will provide for the transition of projects that were included in my Department's water services investment programme 2010-2013. The further progression of all water services capital projects, including the Shannon sewerage scheme, is now a matter for Irish Water.

Resolving the issues that have arisen at the Shannon town scheme is a priority for Irish Water. Prior to taking up responsibility for water services in January 2014, Irish Water commenced the process of examining options that could resolve the issues at the scheme. The existing scheme requires major re-engineering which will need an investment of between €2.5 and €3 million. Irish Water is considering the technical options for the scheme and will be proceeding to detailed design, budget finalisation and, subject to all statutory consents being approved, construction in 2015. In the meantime Irish Water is proceeding with pumping upgrades and other short-term measures. I hope this clarifies the position for Senator Mulcahy.

Tony Mulcahy (Fine Gael)
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I thank the Minister for his reply. It is a welcome statement. I am sure the people of Shannon, all the employers and, most important, those of us who live in the town are grateful that the matter will be dealt with finally after all these years, that we will have a proper scheme in the town and that we will be able to grow the industrial base.