10 October 2003
Northern Ireland's water and sewerage services will not be privatised or converted into a 'not-for-dividend business', John Spellar, the province's acting regional development minister, has announced.
He also ruled out a flat rate water charge to pay for the service in the future.
There has been a campaign by trade unions and user groups against water privatisation in Northern Ireland. The Department for Regional Development says that more than 12,000 petitions against water reform have been received.
Reform of the water service will go ahead, with £3bn to be spent over 20 years on improving the infrastructure. The cost will be met by service users. Spellar said that this will be done in a way which reflects households' ability to pay.
This will probably involve a supplement to the new system of local government charging, details of which are still subject to consultation.
The minister also attempted to allay further trade union concerns by saying that redundancies will be avoided where possible and that staff will transfer to the new service on their existing terms and conditions.
Spellar said: 'We are now examining the remaining policy options for water charging, business model and the introduction of customer representation and regulation arrangements.
PFoct2003
