Robert Troy (Longford-Westmeath, Fianna Fail)
Link to this: Individually | In context

Question 123: To ask the Minister for the Environment, Community and Local Government his plans for the new water monitoring board; the date on which it will be established; the way it will be structured; if it will be independent of him and independent when setting price; the persons who will make up the membership of the board; and if there will be any recruitment or will the embargo cover this board. [7145/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
Link to this: Individually | In context

The Programme for Government provides for the establishment of a new State-owned national water authority, Irish Water, to take over responsibility for managing and supervising investment in water services infrastructure and to manage the domestic water metering programme. The Memorandum of Understanding between Ireland and the EU/IMF commits Ireland to undertaking an independent assessment of the establishment of such an authority.

The first phase of work on the independent assessment has been completed, and a position paper setting out proposed reforms in the water sector has been published as part of a public consultation which will conclude on 24 February 2012. The proposed reforms comprehend:

· the establishment of a new public utility, Irish Water to take over the responsibility for the delivery of water services from local authorities;

· the introduction of water charges based on metered usage, with the procurement for the metering programme to commence later in 2012; and

· the introduction of independent economic regulation of the water sector under the Commission for Energy Regulation.

The main role of the Regulator will be to protect the interests of customers. The regulator will be responsible for determining the cost of water services, ensuring that efficiencies are delivered so that the cost of providing the service to the consumer is kept to a minimum. The Regulator will ensure there is a framework where water charges are fair and clear in their implementation and that policies are in place to address affordability issues. The legislation to establish the regulator will determine the powers to be assigned to the regulator and the approach to be taken to regulation.

The phase 1 report was also published as part of the public consultation. This report set outs an outline transition plan for the establishment of Irish Water which would involve the appointment of an interim board and Project Management Office in 2012. Irish Water would be established under its own statute by mid 2013 at which point ownership of assets would transfer from local authorities to Irish Water. Local authorities would be agents of Irish Water for a period with Irish Water taking over their operations on a phased basis from January 2015. The full transfer of operations would be completed by end 2017.

Phase two of the independent assessment will set out a more detailed implementation plan and it is expected that this plan will be completed in April 2012 following on from the consultation process. Necessary legislation for all the components of the water reform plan, including the establishment of Irish Water, will be brought forward after this date, taking account of the finalised transition plan.