Marcella Corcoran Kennedy (Laois-Offaly, Fine Gael)
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To ask the Minister for Environment, Community and Local Government the plans Irish Water has to advance a project (details supplied); and if he will make a statement on the matter. [42693/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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The Dublin Water Supply Scheme (Long Term Water Source) is included as a scheme to advance through planning under my Department’s Water Services Investment Programme 2010 - 2013.

Consultants working for Dublin City Council have examined the feasibility of taking water from the River Shannon as a means of providing long-term security of supply in the Dublin region. A Preliminary Report, which addresses this matter and outlines the options examined for source development, the type of treatment to be provided and how the water could be delivered and distributed, has been completed. I understand that the City Council intends to appoint a consultant in the near future to advance the planning of this scheme, including progressing statutory procedures, such as Environmental Impact Assessment, Water Abstraction Order and planning consent.

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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To ask the Minister for Environment, Community and Local Government the role local authorities will play in Irish Water and the management of water services; the way capital investment will be prioritised; if it will be linked to regional and local development plans; and if he will make a statement on the matter. [42707/12]

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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To ask the Minister for Environment, Community and Local Government the priority that will be given to larger water schemes under the new Irish Water; what will happen to rural and smaller water schemes; and if he will make a statement on the matter. [42708/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I propose to take Questions Nos. 406 and 407 together.

The Government decided in December 2011, based on the recommendations of an independent assessment and in line with the commitment in the Programme for Government, to establish a public water utility company, Irish Water, to take over the operational and capital delivery functions of local authorities in the water services area.

Following further analysis by my Department together with NewERA, the Government decided that Irish Water should be established as an independent State owned subsidiary within the Bord Gáis Éireann Group.

It is proposed that Irish Water will be the Water Services Authority and single point of contact for customers, and would, therefore, be statutorily responsible for both investing in, and operating, water services infrastructure in its role as a provider of drinking water and wastewater services to household, commercial and industrial customers in Ireland (not served by private group water schemes). Irish Water will take account of the Local Development Plans and Regional Planning Guidelines in assessing its investment priorities.

A phased transition is proposed to ensure continuity of service and the building of a fit for purpose organisation within a reasonable timescale, and it is also proposed that Irish Water will maintain a strong regional and local focus for operational delivery.

In the initial phase (following the enacting of primary legislation in 2013), Irish Water will work largely through service level agreements with local authorities, and these arrangements will not end until 2017 at the earliest. The skills within the Bord Gáis Group will be paired with the experience and commitment to service in local authorities and the specific water and wastewater capabilities and expertise that exist in local government to build the new organisation and ensure its successful establishment and operation.

Work is now focused on the finalisation of an implementation strategy which will address transformation planning in more detail. This strategy will provide the platform for dealing with a broad range of implementation issues during the transitional phase, including dealing with matters which cross the boundaries between Irish Water functions in relation to water services and those functions which will remain the responsibility of local authorities.