15 December, 1999

DRD MINISTER RULES OUT PRIVATISATION OF WATER SERVICE

The Minister for Regional Development Peter Robinson MP MLA announced today that the Water Service will not be privatised and will remain as part of his Department.

He was speaking after his initial meeting with the Department for Regional Development Assembly Committee.

The Minister said: "I want to remove uncertainty about the future of the Water Service. Water should remain a public utility without private shareholders reaping big rewards.

"This does not, however, rule out the possibility of partnerships with the private sector in helping with the massive investment which is needed over the next decade.

"For years the Water Service has faced uncertainty. The options of a Government-owned company, privatisation and agentisation have all been considered.

"I do not favour the creation of new quangos and I have decided that the Water Service should continue as part of my Department."

Mr Robinson said that, as part of his decision, he would be exploring with the DRD Assembly Committee how best to increase democratic accountability in respect of the Water Service.

And he will also look at ways in which the Water Service's performance can be assessed against the efficiency standards being achieved by water authorities in Great Britain.

The Minister concluded: "The people of Northern Ireland deserve water and sewerage services provided to the appropriate national and European standards.

"This will require heavy investment over the coming years, perhaps building up to double the present level of investment.

"Consumers will be expected to pay more for these services. They must feel confident that the Water Service is being run as efficiently as possible and in the interests of the community, not of private shareholders."