Suppliers surprised at estimated total cost of installation

METER COST: WHILE THE cost of buying and installing a water meter is comparatively small, this is likely to rise significantly…

METER COST:WHILE THE cost of buying and installing a water meter is comparatively small, this is likely to rise significantly once interest due to the National Pension Reserve Fund is factored in.

It emerged yesterday the cost of water meters is likely to be funded by way of a 20-year standing charge levied on all customers which would lead to a total outlay on the installation of €780.

Suppliers of water meters yesterday expressed surprise that the cost of installing water meters across the State could be anywhere close to that amount and told The Irish Times all the hardware required for the installation could be bought for less than €100.

Water meters capable of monitoring up to 4,000 cubic metres of water coming into a domestic residence sell for as little as €35.

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Meanwhile, the cost of the material needed to sink the meter underground is no more than €50.

The only remaining costs involved are related to labour. One major supplier said the work can typically be done for about €200, which would take the total cost, if done privately, to less than €300 – somewhat short of the price tag of €780.

It is not just suppliers who have highlighted the pricing anomalies.

Mairéad Sheridan heads up the Erne Valley Group Water Scheme in Co Cavan, one of the largest private schemes in the State.

This scheme has been using a metered system since 2007, and she said yesterday a person could pay about €150 on the meter and another €60 on the necessary equipment to install it underground.

She estimated the labour costs involved in the installation at between €150 and €200, which would take the cost of installation to about €400 – or nearly half the estimates which have been outlined by sources.

Waterworks: Charges around europe

HOLLAND

Households pay for water in the Netherlands, where the average charge is €1.50 per cubic metre, according to Vewin, the association of Dutch water companies.

Charges for consumption kick in immediately for all consumption but there is no separate installation charge for meters.

There is no separate standing charge apart from consumption charge. Charges have been in place since after the second World War, if not before.

Water consumption is the lowest in the developed world at 128 litres per capita per day, and water leakage from distribution system is among the lowest in the world at just 6 per cent. There are 10 regional water companies. – PETER CLUSKEY

GERMANY

Everyone pays for water in Germany. Prices vary between states. In Berlin, for instance, water costs €2.169 per cubic metre, including 7 per cent VAT.

Standing charges are linked to consumption. In Berlin, based on an average family of four, using 42 cubic metres of water per person, or 168 cubic metres for the family, households pay 6.4 cent per day – giving a standing charge of €2.34 a year. But again, that changes depending on how much water you use, and where you live.

In Berlin, a charge of €2.47 per cubic metre is levied to transport away sewage, as well as a standing charge of between 4.5 cent up to €18 a day, depending on quantities produced. – DEREK SCALLY

UK

Householders in the UK must pay both for water and sewerage.

The average bill for water alone this year will be £182, up 5 per cent. The cost of water and sewerage is £380 a year, on average.

Metering is becoming more common, particularly in the parched southeast of England.

Consumption falls by 10 per cent on average, once metering is introduced.

No upfront fee is applied by water companies for meters, although a standing charge of about £30 a year is applied to cover administration costs. – MARK HENNESSY

FRANCE

The French water system, developed in the 1960s, is based on the “polluter pays” principle.

Each household must pay for the water it consumes, as recorded on a meter installed in every house or apartment building.

Prices can vary considerably from region to region (it depends on population density, technical factors, service quality, and so on), but in the five largest cities, the average price stands at €3.28per cubic metre, which is just below the western European average.

That means the average family pays just above €1 per day.

The state estimates that spending on water accounts for 0.8 per cent of household budgets, but grants are available to the lowest-income families.

Consumption levels have been falling slightly with growing environmental awareness in recent years.

The French system is organised by local authorities, which are free to choose between managing the service themselves or contracting a private operator.

While controversy arises from time to time over the private firms that dominate the sector, a TNS-Sofres poll last year found that 80 per cent of French people were satisfied with the quality and cost of their water. - RUADHÁN Mac CORMAIC

Conor Pope

Conor Pope

Conor Pope is Consumer Affairs Correspondent, Pricewatch Editor and cohost of the In the News podcast