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Minister Coveney's speech - Private Members Business on the ownership of the public water system

Thirty-Fifth Amendment of the Constitution (Water in Public Ownership) (No.2) Bill 2016
Thank you, a Ceann Comhairle.
I’m very pleased to participate in this afternoon’s debate. The debate provides another useful opportunity to discuss issues concerning the public water system and its importance to citizens, communities, our economy and the environment. The debate comes at a critical time in our collective deliberations on the future of domestic water charges and how we fund domestic water services into the future. Any discussion that informs that debate is welcome.
I understand and appreciate the intention of the Bill before the House, which seeks to underline public ownership of our public water system. While the Bill has not undergone the necessary consultation or deliberation required to establish whether providing additional Constitutional protection can, or should, be provided to the public ownership of our public water infrastructure, the Government will not oppose it at second stage. However, for the reasons I will outline in the course of my contribution, it is imperative that the Bill undergo the necessary deliberation and scrutiny at pre-legislative stage to ensure that its intention or wording does not run the risk of unintended consequences.

Sincerity of Opposition views on issue
A Ceann Comhairle, I want to first of all acknowledge the sincerity of Members from all sides of the House on the need to give public reassurance on this issue. Everyone here wants public water infrastructure that serves the needs of the citizens and businesses of this country. Everyone here, I believe, wants this to be achieved through public, not private, ownership.
Members have been proposing a Constitutional amendment that guarantees future public ownership for some time. I have consistently said that I am open to considering workable proposals that provide the necessary certainty on this issue. Three similar Bills seeking a Constitutional amendment regarding water infrastructure have also been published this year. We may disagree over how to fund water services but we share a common view on the State owning this vital public service. Not once have I heard a dissenting voice in this House or in the Seanad on the issue.
To address public and political concerns, the previous Government, of which I was a member, legislated twice to reassure our people that Irish Water and its infrastructure would not be privatised by a future government. The Water Services Act 2013 prohibited the shareholders of Irish Water - the Minister for the Housing, Planning, Community and Local Government; the Minister for Finance; and the board of Irish Water - from alienating their shares.
In 2014, the Government introduced a further safeguard in the Water Services Act 2014. Any privatisation or part-privatisation of Irish Water, through alienation of any Ministerial share in Irish Water to anyone other than another Minister, cannot be initiated unless three specific conditions are met:
(1) both Houses of the Oireachtas pass a resolution approving such a proposal;
(2) the prior approval of a majority of voters in a plebiscite is obtained on the proposal; and
(3) the Minister must then initiate legislation to privatise Irish Water or alienate any share held by the Government.
Existing legislation therefore already provides a statutory prohibition on the disposal of Irish Water and its water services infrastructure. The question for this Oireachtas is therefore whether the legal safeguards already in place need or can be further strengthened through an appropriate amendment to our Constitution?

Complexity of issues
Though I am supportive of any additional measures to safeguard public ownership of the public water system, I also recognise the complexity of a Constitutional amendment.
The Constitution is the fundamental legal document of the State. It usually does not explicitly recognise the structures of the State that operate below our key institutions. These structures, such as the education and health systems, or the country’s energy and road networks, are usually prescribed in legislation.
An additional complication to any Constitutional recognition of public ownership of water infrastructure is the proposed wording. It is challenging to construct an appropriate amendment given the various categories of ownership of water services infrastructure in the State. Among those that might experience unforeseen implications are infrastructure funded by the State but operated by private group water schemes, or bore-holes located on privately-owned land.
Seeking to enshrine such property in public ownership through a Constitutional referendum inherently risks having unintended consequences that could impinge on individuals’ constitutional rights to private property.
It is due to these complexities that the Government, in consultation with the Attorney General, in seeking to bring certainty to the future ownership of the public water system, has legislated twice to protect its public ownership. We have given reassurance to the public that they will own the infrastructure that provides us with water services, the most basic and fundamental of services for homes, businesses, social services and communities – unless they, the public, decide otherwise in the future. I therefore reserve my position to bring forward a Government amendment to the Bill at committee stage.

Public service in the water sector
A Ceann Comhairle, I also want to use this debate to acknowledge the strong sense of public service that has always defined those who have worked in water services. This spirit of dedication to the public endures in the water sector of today.
Whether it’s staff of local authorities, custodians of water services for over one hundred years and now partners of Irish Water, or those who work directly for the national utility, those responsible for water services delivery have always strived to provide our citizens with a quality service. I acknowledge that there have been problems in our water infrastructure associated with under-investment and an inadequate national approach to planning and investment for many decades. Yet staff in the sector, and indeed in the group water sector, with its strong voluntary dimension, have always shown great dedication to serving the public.
We’ve seen this again and again in times of emergency such as recent flooding and storm events. Staff continue to operate plants and maintain our national assets in difficult circumstances, often without adequate funding. Employees of Irish Water, as well as those who have installed meters on its behalf, have worked with great professionalism in sometimes hostile environments. Not only is the water system publically owned, but the employees, whether they be local authority or Irish Water, have always shown a commitment to meeting the needs of the public. They too are an important national asset – something which is not lost on this Government.
Conclusion
Once again I’d like to thank Deputy Collins and her fellow signatories in bringing forward this Bill. I accept the spirit with which the proposal is made and for that reason I and my Government colleagues will not be opposing the Bill at his stage. However, for the legal and technical issues I have outlined I must stress again the need for careful consideration of the proposal and its wording between now and its scrutiny at pre-legislative stage.