Irish Water One Year On

Transcription

1 Irish Water One Year On Delivering Engineering Services in Local Government Katherine Walshe, Regional Operations Manager 5 th February 2015

2 Irish Water - Rationale for Establishment Delivering the volume and quality of water required for citizens and enterprises, as well as the environmental standards required by the Water Framework Directive, poses a significant challenge for the water sector in Ireland. Substantial investment is required at a time when the Exchequer and Local Authority finances are severely constrained. Key funding and organisational issues must, therefore, be addressed in order to meet these challenges. An important dimension of the reform of the sector is the proposed establishment of Irish Water, as a public water utility responsible for all aspects of water services investment and operation. Source: The Impact of Irish Water on Local Authorities, EI Cork Region Seminar, 20 March 2013 (Taken from: Putting People First Action Programme for Effective Local Government, October 2012) 2

3 Water A Global Risk World Economic Forum mapped 28 global risks in its Global Risks 2015 report. A global risk is an uncertain event or condition that, if it occurs, can cause significant negative impact for several countries or industries within the next 10 years. Has been a shift away from economic risks in general to environmental risks. Water crises described as a significant decline in the available quality and quantity of fresh water, resulting in harmful effects on human health and/or economic activity. According to the United Nations, water use is growing at twice the pace of population growth. In 2015, Water Crises has risen to the top risk in terms of impact. 3

4 Source: Global Risks 2015 report, World Economic Forum, Switzerland,

5 Global Risks of Highest Concern for the Next 18 Months and 10 Years Source: Global Risks 2015 report, World Economic Forum, Switzerland,

6 Ireland: A Local Example Water Shortages in Summer 2014 Water shortage causing havoc on Cape Clear, The Southern Star, 12 August 2014 Cape Clear Islanders call for solution to water supply woes supply woes, Irish Examiner, 12 August 2014 Cape Clear residents experiencing water shortage, RTE News, 13 August 2014 Cape Clear residents facing chronic water shortages, The Irish Times, 21 August cape-clear-residents-experiencing-water-shortage/ 6

7 Ireland - Water Services Legislation Water Services Act 2007 Incorporated a comprehensive review, update and consolidation of all existing water services legislation. Water Services Act 2013 Provides for the establishment of Irish Water/Uisce Éireann and responsibility for the installation of water meters for domestic households connected to a public water supply. Water Services Act (No. 2) 2013 Provides for water charges and provides for transfer of the functions of water services authorities to Irish Water. Water Services Act 2014 forms the legislative basis for the revised policy on water charges including the capped charges agreed by the Government. On 1 January 2014, Irish Water became responsible for supplying public water and wastewater services to domestic and non-domestic customers. It is also responsible for the delivery of water and wastewater infrastructure. 7

8 Irish Water - The National Water Utility bringing together the Water Services of 34 Local Authorities since 1 January 2014 Management of national water assets Customer care and billing Maintenance of the water system Managing capital projects Investment and planning 8

9 Irish Water - A Function Based Organisation with a Regional Presence Headquarters in Dublin and a services function in Cork. 3 regions with 8 regional offices. 9

10 Key Stakeholders Local Authorities CER Irish Water EPA DECLG 10

11 Business Scale 2,000 Treatment Plants approximately. 90,000km of Network approximately. Provision of water and wastewater services to approximately 4.5 million individuals within a customer base of approximately 1.65 million (1.45m domestic & 200k non domestic) customers. Drinking Water Treated 1.7 billion litres per day Treated Wastewater 1.6 billion litres per day Total Budget 1.4bn (OPEX 800m, CAPEX 600m inc. metering). Service Level Agreements with 31 Local Authorities. 11

12 Key Business Objectives Effective and affordable water services for an Ireland returning to robust economic growth. Safe reliable drinking water with adequate headroom for growth and opportunity. Environmental compliance over a number of investment cycles, prioritised on key drivers and growth. Climate resilience and energy management to meet carbon targets. A focus on defined customer needs and targeted delivery. A funding model that delivers sustainability for the business. A workforce that has a focus and is enabled in terms of structure, skills and systems to meet objectives. 12

13 Some Achievements Utility in 18 months and new utility systems implemented. Metering Programme - Target of 1.05m meters installed by end 2016 to average 32,000 per month. 562,542 meters installed by 27/01/2015 with 48,000 meters delivered in one month. Service Level Agreements (SLAs) and Annual Services Plans (ASPs) with all 34 (now 31) local authorities. Transformation Plan agreed. Changed the way procurement is being done. Capital Investment Plan agreed and invested over 340m in improving water and wastewater services in 2014 and will increase to 410m in CER Water Charges Plan completed and 1,026,912 responses to Customer Application Campaign (by 27/01/2015). 13

14 Irish Water Systems

15 Challenges Evolving as a Utility. Delivering Capital Investment Plan Proposals. Implementing Customer Billing. Delivering Business Plan Benefits. Three Year Transformation Plan with LAs. 15

16 Irish Water A Self Funding Utility The aim is for Irish Water to be a self funding entity with two streams of investment over time one from bill paying customers and the other from market funding. IRISH WATER TODAY Change Attitudes & Behaviours Towards Water Effective Control of Assets & Operations 1 2 REVENUE CAPITAL INVESTMENT Customers Paying Bills A Self Funding Utility Funding from the Markets 16

17 Priorities Water Quality Improving drinking water quality is the number one priority for Irish Water. Key areas include: Removing Boil Water Notices by improving disinfection. Implementing a national lead strategy. Prioritising Remedial Action List schemes for improvement. Developing a mains cleaning and maintenance programme. Source: 17

18 The Lead Issue The lead issue arises solely from lead plumbing in older buildings, pre 1970's, with lead at low concentrations dissolved by the water passing through the pipe (Plumbosolvency). It varies a little with different waters from place to place due to different chemistry. This has existed over the life of the buildings but is now an issue because the limit for safe drinking water was cut from 25 microgrammes per litre to 10, in December The installation of the meters has no impact on this and is not related to lead levels in water. However, in doing the metering work, Irish Water has logged properties where the installers noted lead pipes. Therefore, we are getting a clearer picture of where lead pipes exist. The presence of lead pipes will not always cause levels above the limit, but the risk exists. Customers can access the joint EPA/HSE Guidance on lead in drinking water on the Irish Water website if they think they have lead and want to minimise lead levels in the short term. Irish Water in the process of finalising a strategy for lead with HSE & EPA. This will involve a random sampling programme and targeted replacement of Irish Water (public side) lead service pipes. However, the lead risk remains unless the households replace the private side lead to the kitchen tap. Recognising that this will not happen quickly, Irish Water is proposing to mirror the accepted practice in Britain, NI and parts of the USA for over 10 years by introducing orthophosphate dosing at the treatment plant. This chemical has been shown to create a coating on the pipe which inhibits the take up of lead into the water. As a result those countries report 90% of samples meet the standard. It takes up to 12 months to be effective and will take a number of years to get it installed in our treatment systems. 18

19 Priorities - Water Availability Reduce Unaccounted For Water (UFW) by repairing bursts and rehabilitating mains prevent outages. Reduce consumption through meter installation. Increase headroom and address security of supply issues to provide for future needs, population growth and economic activity. 19

20 Priorities Wastewater Quality Prioritise the management, operation and maintenance of treatment plants and collection networks. Key areas include: Infrastructure to deal with secondary treatment, nutrient reduction, untreated sewage, discharge licences, flow meters, telemetry, alarms. Effluent quality improvements to meet the 1991 Urban Waste Water Directive through operation and maintenance programmes, controlling inputs, and upgrading infrastructure. Monitoring and reporting of compliance with effluent quality standards as specified in waste water discharge licences and reporting of incidents. 20

21 Priorities Wastewater Availability Provide upgrades and new infrastructure to deal with non-compliances. Increase capacity at wastewater plants operating at a rate higher that their design capacity. Increase capacity to meet future needs, population growth and economic activity. 21

22 Minor Works (Reactive) - Like for like replacement in reaction to a critical asset failure where there is no available standby asset A Few Examples Electrical Panel Replacement Dosing Pump Replacement Improved Access / Working at Height Clear Water Tank (Covered) Minor Process Improvements 22

23 Capital Investment Planning Capital investment is required to establish a world class infrastructure. Previous Approach WSIP high investment on relatively small number of schemes including high growth provision Under-investment on large number of schemes Under-investment in capital maintenance CIP in place. CIP to commence. Future Approach All schemes considered for investment Greater spread through small capital / more targeted investment Growth provision just in time Benefits of standardisation and innovation 23

24 Opportunities Standardising what is designed and procured will bring consistency to how assets will be operated and maintained and in terms of price and quality. Innovations in new technologies will get us closer to dealing the water risk. Quality Development of economic activity a win-win for all. A national approach to Water Services will advance the Engineering Profession in Local Authorities and Irish Water. Price VALUE Time/Service 24

25 Conclusion The reform of the way water services are provided is a huge undertaking will see the introduction of billing but it will also see a significant increase in investment in water treatment and sewage treatment facilities. The public will begin to see the level of transformation that is going on within the water industry and, for a fair charge, the benefits it will bring to communities across the country and the Irish economy in general. The central reason for the establishment of Irish Water that of giving Ireland a world-class water service is of national importance and one which we are determined to deliver on. Thank You 25