Water Charges
Water and Sewerage Services in Northern Ireland
Northern Ireland’s water and sewerage services are being reformed.
On 1 April 2007 Northern Ireland Water Service became a Government owned company (Go-Co) called Northern Ireland Water Limited (NIW). At the same time the Consumer Council took its legal responsibilities to represent the interests of water and sewerage consumers in Northern Ireland.
In May 2007 the Northern Ireland Assembly deferred the introduction of domestic charges for water and sewerage services for 2007/08. The Minister for Regional Development, Conor Murphy also announced a comprehensive review of how water and sewerage services are provided in Northern Ireland.
The Minister ruled out privatisation.
What role does the Consumer Council play in reforming water and sewerage services here?
Why is there any independent review going on?
What is the independent review looking at?
What did the strand one report say and what does this mean for domestic water charges?
Has the Northern Ireland Assembly accepted any of the recommendations?
What will this mean for businesses?
What is the Consumer Council’s position?
What role does the Consumer Council play in reforming water and sewerage services here?
In April 2007 the Consumer Council took on the legal role of consumer representative for water and sewerage customers. We represent the interests of all water consumers and put the consumer at the centre of the agenda and debate on how to make water charges fair, affordable and sustainable. We handle complaints about water and sewerage services. Click here to find out about our complaints role.
Why is there any independent review going on?
Before the independent review consumers had little trust or confidence in the water reform process and the decisions that had been taken by direct rule ministers. The independent review will try to restore public trust by carrying out an open and transparent review of what has happened. They will make recommendations on what they think will be the best way to deliver and pay for water and sewerage services in Northern Ireland.
What is the independent review looking at?
The independent review is looking at how water and sewerage services are paid for. The panel will make two reports to the Minister Conor Murphy.
The first report was released in October 2007. It looked at the cost of water and sewerage services and how these will be funded. To view this report in full and find out more about the review log onto: www.iwrp-ni.org.uk
The second report will look at the management, governance and delivery of water and sewerage services and is expected in January 2008.
What did the strand one report say and what does this mean for domestic water charges?
The strand one report confirms that we already pay around £109 million for water and sewerage through our domestic rates, averaging at about £160 per household.
We do need to pay more for our water and sewerage services but this should not start until April 2009.
If all the Independent Water Review Panel’s recommendations are accepted the average extra payment towards water and sewerage services should be about two thirds less than previously expected.
The report also recommends that:
- the previous plans for water charges should be abandoned;
- there should be no separate bill for water and sewerage services – it should appear on the rates bill;
- current plans for domestic metering should be stopped;
- future payments should be based on property capital values;
- there should be more help for those who cannot afford to pay to prevent water poverty;
Has the Northern Ireland Assembly accepted any of the recommendations?
In October 2007 the Minister for Regional Development outlined the Executive’s response to the first report.
The Executive welcomed the finding that we already pay a contribution towards water and sewerage services through our regional rates. From 2008-09 around £160 for the average household will be taken from the domestic regional rate for water and sewerage services. In 2008-09 this will be the only contribution that consumers will make. From 2009-10 domestic consumers will pay two thirds of the full charge and the full amount from 2010.
We will not know how much this will be until the Executive has made its final decisiosn.
What will this mean for businesses?
Plans for non-domestic charges will continue as originally planned.
Unmetered customers will pay a fixed standing charge and a charge based on the rateable value of their business premises.
All metered non-domestic customers will pay a standing charge and water and sewerage charges based on their metered water use.
It is not yet clear what impact the independent panel’s recommendations will have on the domestic allowance for non-domestic users.
More details about what these new water and sewerages charges mean for businesses can be found on NIW’s website: www.niwater.com
What happens now?
The review's second report will be published in January 2008. The Executive will then decide which of the review panel's recommendations to take forward and this will then be followed by a twelve week public consultation. This gives consumers a further opportunity to have their say.
Following the consideration of the consultation responses the Northern Ireland Executive will decide on how our water and sewerage services will be provided in the future.
What is the Consumer Council’s position?
The Consumer Council has given its full support to the Independent Water Review Panel’s first report as we believe it is the best, most practical starting point for getting the right deal for all consumers, particularly those on low incomes.
We have been consistent in supporting the principle of paying for water and sewerage services. We acknowledge that high quality public services such as health and education and improved infrastructure for water, sewerage and public transport all come at a cost and there is a need to agree on the best way of funding them now and in the future.
Any new water and sewerage charge should be fair, affordable and sustainable. We must make sure we protect the most vulnerable in society, do not pass on the entire burden to consumers who can afford to pay and all use our water wisely.
Related Press Releases
Water Report Can Deliver A Fair Deal For All Consumers 12 October 2007
Driving For A Fair Deal On Water 20 June 2007
Consumer Council Welcomes Minister’s Move To Restore Public Trust In Water And Give Consumers A Fair Deal 11 June 2007
Related Documents
Water and the Consumer: Driving for a Fair Deal 20 June 2007
The Consumer Council Response to I.I.A. March 2005
Water - A Clear Way Forward, November 2004
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