The billing system for non-domestic water use in Ireland that has resulted in a number of farmers paying multiple water charges, was developed by the Commission for Regulation of Ultilities (CRU), according to Irish Water.
The statement comes as the Irish Farmers’ Association (IFA) expressed its anger at the approach, which has resulted in a number of farmers paying multiple tariffs due to their holdings being fragmented.
Irish Water told Agriland that the current approach that charges per meter is fairer than the previous one, although it is only responsible for implementing it.
It said that the CRU made a decision to implement a ‘per connection’ approach back in July 2019, to replace more than 500 different tariff levels, categories and methodologies across the country. There are now just six different systems.
“This new model provides much more transparency and because it is a national framework it also ensures equity for all of our customers regardless of their geographic location in Ireland,” Irish Water said.
The IFA is seeking a ‘charge per customer’ approach which would remove the multiple charges some farmers with divided land are facing.
These multiple charges mean having a water connection on each land section is uneconomical according to the IFA.
This approach was considered by the commission before the final decision was made according to Irish Water.
Input on water charges
“The regulator sought input from a wide range of stakeholders including business and farming representative groups on all elements of the new framework,” Irish Water stated.
“Similar to other utilities, they decided on a ‘per connection’ approach, which was already in place in the vast majority of local authorities for water services.”
Irish Water has estimated that as a result of the implementation of this approach, 83% of customer connections will see their annual bill either decrease or stay the same.
It also estimates that those in this percentile who do experience an increase, will not see it rise by more than €250.
“Introducing the new tariff framework is the right thing to do. Investment in water services is needed to enable growth and development across the country supporting homes, farms and businesses to grow and expand.”