‘TO PAY OR NOT TO PAY', THERE IS NO QUESTION

 

           Liz Harkin MEP

“There is no question as to whether Ireland will be in breach of EU regulations if we decide not to apply water charges”. This was stated by Marian Harkin MEP, having analysed EU Commission responses and a recent judgment from the European Court of Justice.

 

 

“The first and most obvious reason is that the Water Framework Directive contains Article 9(4) which says that Member States do not have to take account of the principle of recovery of the costs of water services where there is an established practice otherwise. The question now arises as to what is ‘established practice’.

“I have a response from the Environment Commissioner sent to then MEP Alan Kelly in 2010 which states ‘Article 9 (4) provides that the possibility for Member States not to apply the provisions of Article 9 (1) to a given water-use activity, where this is an established practice at the time of adoption of the directive’.

“The crucial words here are ‘at the time of adoption of the directive’. Given that Ireland adopted this directive in 2003, there is no argument as to what was ‘established practice at that time’- we clearly did not have any water charges.

“Furthermore this response is backed up by a statement on the Commission´s website which again states that if Member States decide not to apply pricing for water, they must provide sufficient justification under Article 9 (4) with the number one justification being “the existence of an established practice at the time of the entry into force of the Water Framework Directive in 2003”.  There can be no further argument therefore as to when the term “established practice” applies- in Ireland it’s 2003.

“Perhaps the most important reason for saying we will not be in breach of EU legislation is established EU case law where the EU Commission unsuccessfully tried to prosecute Germany for excluding certain water services including ‘personal consumption’ from water charging. The European Court of Justice is clear in its judgment that ‘the EU legislature intended to allow Member States to determine the measures to be adopted for the purposes of the application of the principle of recovery of costs without extending it to all services associated with water use, as practices in the Member States varied widely’. This clearly gives Member States the discretion not to extend it to ‘all services.’ Further in the judgment it goes on to say that the Directive ‘does not per se impose a generalised pricing obligation in respect of all activities relating to water use.’

“However, crucially, in order for Ireland to activate the derogation contained in Article 9 (4) it must submit its proposal in its second cycle River Basin Management plans. It did not do so in its first proposal but in a Commission Communication from 2012, the Commission accepts that Ireland will be amending certain national measures in its second proposal. It is vital that we include the flexibility under Article 9 (4) in this proposal - it’s a question of ‘use it or lose it’.

“It is therefore essential that Ireland applies to activate Article 9 (4) in its second River Basin Management Plans proposal so that the decision on water charges remains a decision for the Irish Government and the Irish people. In two or three years’ time, I do not want to hear some Irish official or minister give the usual excuse ‘Brussels made us do it’. In this instance we have the choice, in fact the choice was put there to satisfy Irish requirements in the first place- all we now have to do is exercise that choice.

“Finally, none of this means Ireland can escape its obligations under the Water Framework Directive. We still must achieve the objectives of the Directive and that will require very significant investment on our part. How we pay for it and who pays for it will however be our decision. Yes, there may be a number of very eager officials in the EU Commission who believe everybody should pay for water but the directive as written has given Member States flexibility as to how they fund it and the European Court of Justice has confirmed this” Marian Harkin concluded.

Original article; marianharkin.com, June 2, 2016


Section 57 of the Findings of the Court

"57      In that regard, Article 9(4) of Directive 2000/60 provides that the Member States may, subject to certain conditions, opt not to proceed with the recovery of costs for a given water-use activity, where this does not compromise the purposes and the achievement of the objectives of that directive."


Confirmed: European Commission says we are no longer exempt from water charges

The “Irish exemption” ended when we introduced water charges, the European Commission has told TheJournal.ie.

THE EUROPEAN COMMISSION has expanded on its view that Ireland would be in breach of European law if we were to step back from the current system of water charges.

In response to a detailed query from TheJournal.ie, a spokesperson for the commission confirmed in a statement:

The Directive does not allow Member States that have introduced water charges to apply article 9(4) and revert to any previous practice not entailing the recovery of costs and the application of the polluter pays principle.

This confirms explicitly, and for the first time in a public statement, that the EC’s view is that an exemption from water charges once available to Ireland, ended with the introduction of water charges.

A dispute earlier this week had revolved around the question of whether water charges were the “established practice” for paying for water in Ireland.

In response to a European parliamentary question from Sinn Féin MEP Lynn Boylan, the commission this week stated:

If the established practice is to have a system in place implementing the recovery of the costs of water services, in accordance with the polluter pays principle, the Commission considers that the flexibility afforded to Member States as outlined in Article 9 paragraph 4 would not apply.

What that’s referring to is Article 9.4 of the Water Framework Directive (WFD), which was agreed upon in 2000.

The directive gave all member states until 2010 to put in place a system of paying for water which incentivises preservation, and discourages pollution.

Source: European Commission

However, Article 9.4 included a loophole known as the “Irish exemption”, which allowed countries to opt out of that requirement, on two conditions:

  • If their “established practices” for water did not involve water charges
  • If the system they implement doesn’t violate the environmental and water preservation aims of the directive.

The commission’s reply earlier this week was first reported by RTÉ, and set off a dispute among Irish politicians, with Boylan and Fianna Fáil TD Barry Cowen claiming that water charges were not the established practice in Ireland.

Cowen, in particular, highlighted a 2010 commission response to a question from then MEP Alan Kelly, which appeared to suggest that the system considered the “established practice” was the one in place when the WFD was adopted, in 2003.

On RTE’s Drivetime on Tuesday, Cowen effectively argued that in 2003 Ireland paid for its water system through general taxation, and therefore the subsequent implementation of water charges in 2014 could not be regarded as “established practice.”

However, we put this question to the European Commission, and their response was clear: once a country has introduced water charges, the WFD does not allow them to “revert” to their previous system of paying for water.

We asked the commission whether they regarded the de facto introduction of water charges in Ireland to have happened in 2010, when the Fianna Fáil-led government submitted to the EC their plan to bring in water charges, or in 2014, when the Fine Gael/Labour coalition government implemented legislation to that effect.

In a statement, the spokesperson told us:

The Irish authorities recognised as far back as 2010 that reforms to the water sector were needed in order to improve the management of the resource and strengthen poor infrastructure. Ireland subsequently introduced water charges.

The government plans to suspend water charges for nine months and establish a commission to explore alternatives to the current arrangement involving Irish Water.

However, the EC’s now explicit public stance on the expiration of our exemption could put additional pressure on that commission to produce a proposal that fully conforms with European law.

The expert commission is expected to forward its final recommendation to a special Oireachtas committee in 2017, after which the Dáil and Seanad will vote on it.

Simon Coveney

In a statement, a spokesperson for Minister Simon Coveney told TheJournal.ie:

The advice of the Attorney General has been sought in relation to the Water Framework Directive and water charges and this issue is under examination by that Office.

As would be normal with the drafting of legislation,  the Office of the Attorney General will provide advice on the proposed legislation…

If the EC deems that the temporary suspension of charges, or the new system emerging from the expert commission are in breach of the WFD, it could begin a lengthy, multi-stage legal process, potentially including hefty fines, against the Irish state.

It would then be up to the government of the day to decide whether or not to challenge the EC, a process that could ultimately see the question of water charges resolved in the European Court of Justice.

Original article: TheJournal.ie June 2, 2016


The government has defeated Sinn Féin's plans to get rid of Irish Water

The motion called for the immediate scrapping of Irish Water as well as an end to water charges.

TDs voting in the Dail this evening

A SINN FÉIN motion calling for the the abolition of Irish Water was amended by the government tonight before being carried in the Dáil – marking the defeat of the original motion.
The original motion, put forward by Sinn Féin and supported by a large number of Independent TDs, called for the immediate scrapping of Irish Water as well as an end to water charges.

 

The motion also called for a date to be set “for a referendum to enshrine the public ownership of water services in the Constitution of Ireland.”

Opposing the motion, the Fine Gael and Independent minority government put forward its own amendment which allowed for water charges to be suspended while a commission was set up the examine whether they should remain.

The amendment carried by 60 votes for to 39 against – which meant that Sinn Féin’s original motion was altered with government’s amendment.

When the time came to vote on the motion as amended – it passed by 59 votes to 38.

Not wanting to vote with the government, Fianna Fáil abstained – but argued along the same lines, calling for the commission to be set up to investigate the future of water charges before any decisions are made.

Original Article: http://www.thejournal.ie/water-charges-vote-2789041-May2016/


Paul Murphy TD speaking on the Domestic Water Charge Motion May 24, 2016

Paul Murphy TD's speech on May 24 2016, Domestic Water Charges motion