Funding for water and sewerage charges

The Minister said - “The Executive has taken account of the impact that asking households to pay additional contributions would have and we therefore decided to meet this burden for 2010-11.

"I intend to study the Regulator’s advice carefully before taking final decisions on the level of subsidy required by NI Water (NIW) and putting proposals to the Executive. I offer my assurance that decisions on these issues will be taken in the best long-term interests of consumers, the economy in the North, the protection of jobs and front line services to customers."

The Minister said the Executive would take decisions on future funding for water and sewerage services. This would take into account -

• The need to deliver services to customers;
• The need for investment to modernise our infrastructure;
• The effect on the economy and the Executive’s budget - and
• The need for NIW to become more efficient.

Asked about the efficiency targets proposed by the Regulator, the Minister said - “NIW is in transition and we need to be realistic about what can be achieved. Regulated companies in England have achieved efficiency targets, with twenty years of investment behind them - the Executive has yet to decide whether to move to full regulation.

"What is important is that households will not pay any additional contributions next year as a result of the Executive’s funding decision. Ensuring there is adequate funding for essential water services, given the difficult winter we have experienced, needs to be the Executive’s priority."