The CRU is today, 23rd November 2022, publishing a decision concerning an interim review of Irish Waters Revenue Control 3 (RC3). In a prior consultation paper (CRU202267) the CRU presented a framework assessment for assessing whether Irish Water required additional revenues, on top of those decided at RC3 (CRU19148 and CRU21093). The consultation paper sought stakeholder feedback regarding proposed mechanisms to address the shortfall in revenue and, separately, a detailed submission from Irish Water.
Having considered all stakeholder responses and after due deliberation of Irish Waters capex and opex submissions, the CRU has decided on the following approach:
• Irish Water will be granted access to €556m (2017 monies) of previously ring-fenced funds for diversion to its broader capex budget.
• Irish Water to be allocated an additional 2023 opex allowance of €137m (2017 monies) to address deficits caused by inflation and energy increases.
At the end of RC3, Irish Water’s investment and delivery performance will be assessed for value for money as part of the lookback process. Furthermore, the CRU is committed to the ongoing monitoring and assessment of Irish Water’s efficient capital investment and operational delivery during the RC3 period via the Investment Plan and Performance Assessment Framework monitoring programmes.
Also published alongside the decision paper is an updated RC3 revenue model and eight stakeholder responses to the consultation paper.
