Seán Fleming (Laois-Offaly, Fianna Fail)
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473. To ask the Minister for Environment, Community and Local Government when the Central Statistics Office will commence an assessment as to whether or not Irish Water is an off-balance sheet entity from the State's national accounts; the time frame involved in this process; when the Central Statistics Office will publish its findings; and if he will make a statement on the matter. [6699/15]

Alan Kelly (Tipperary North, Labour)
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A key component of the strategy to establish Irish Water is that Irish Water will be classified as a Market Corporation under Eurostat rules and as a result, will not, other than in relation to Government operating subvention, be included in the calculation of the General Government Balance (GGB). The Market Corporation Test is a requirement that income from customers be greater than 50% of production costs.

The Central Statistics Office is responsible for engagement with Eurostat on such matters, and my Department has met with that office and is providing the necessary information to facilitate this work. Early engagement with that office by my Department centred around understanding the rules by which a utility such as Irish Water would be considered as a market corporation. Based on this understanding, the Government is confident that the underlying funding model for Irish Water supports increased investment in the water sector through an off-balance sheet classification of the utility while at the same time providing for water charges which are affordable, clear and certain. The Government remains confident that Irish Water will pass the Market Corporation Test. The decision is ultimately a matter for Eurostat.