Kenny: Water charges will be revealed before local elections in May

Taoiseach Enda Kenny has reiterated a pledge that homeowners will know how much they must pay in water charges before next month’s elections amid concerns that a fixed rate may be slapped on consumers.

There were mixed messages from Cabinet members yesterday about whether a standing charge — a reported €100 — could be applied to homes before a tap is even turned on.

Proposals on what types of tariff households face and other details about billing, services, and supply for users are expected to be published by the energy regulator this week.

Mr Kenny yesterday promised that voters would have an idea about the amount in charges before the local and European elections on May 23.

Asked in Mayo when people would know how much charges would be, he said: “Before the election, obviously. Government have a number of decisions to make about this. People are entitled to know. I’ve already said that this would be as fair and as affordable as possible.

“When Irish Water is up and running as an entity, that it will be able to borrow money on the open markets as distinct from taking taxes off people to provide infrastructure for water all over the country.”

Mr Kenny said the Government was only investing €300m in water at the moment when it should be investing €600m.

His comments came after ministers played down claims that Irish Water wants a €100 standing charge slapped on homes before usage is taken into account.

Standing charges already apply to electricity and gas bills.

Energy Minister Pat Rabbitte said it was the first he had heard of the proposed charge. He said he had an idea what usage charges would be, but said no decision had yet been taken.

Environment Minister Phil Hogan said no decision on what consumers would pay had been made yet.

However, Age Action warned that such a high standing charge would hit older people living alone.

“A high standing charge would mean that before they even turn on the tap, low income pensioners would be hit,” spokesman Eamon Timmins said.

Social Protection Minister Joan Burton said any charges had to be fair and moderate for families.

Speaking in Limerick, Finance Minister Michael Noonan said suggestions that a €100 standard water charge would be coupled to metered payments was “an incomplete story”.

“The Government haven’t yet decided what level of water rate will apply. So the story this morning is based on something that was said, but not by Government,” said Mr Noonan.

“We have committed to metering every house and business in the country and to apply water charges and we have also said then that the Government will decide the level of the charge in due course. We have also said there will be a free allowance for all households. Beyond that we haven’t gone yet.”

A submission by Irish Water on the charge structure and separate plans to protect water services for users are set to be published by the energy regulator this week, as submissions are sought from the public.

The regulator expects to release its own draft plans for charges by June but the Government may reveal charge amounts prior to then.

Fianna Fáil argued that any costly standing charge would make a mockery of the idea of a free water allowance for some homeowners before they even use any water.

Party leader Micheál Martin called on Mr Kenny to bring an end to any speculation and clarify the issue.