Robinson hints at delay in water tax
ULSTER households could be set to be spared the imposition of a water tax next year, the First Minister has hinted.
On Thursday, Peter Robinson said it would be unacceptable to introduce the tap charge in the current dire economic climate.
While it will have to be a Stormont Executive decision, it seems inconceivable that any of the other parties would oppose the move.
After being deferred for this year too, the bills are due to start dropping on local doormats next spring.
The average cost in year one is anticipated at around 160 per home, rising to several hundred pounds annually thereafter.
But in a week where electricity and gas companies have announced huge price hikes, and as food costs continue to spiral, Mr Robinson said: "In the present conditions with rising bills, I believe that fresh consideration must be given to the timing and phasing of the introduction of domestic water charges.
"To make such a deferral possible will place significant pressure on our budget and may require careful consideration of existing allocations, but it is not credible to place any greater burden on our citizens in the present dire global economic circumstances."
The DUP leader was speaking to Coleraine Chamber of Commerce.
This was after the NI energy regulator, Iain Osbourne – tasked with monitoring the work of electricity and gas companies – told a committee of MLAs that consumer price rises were justified.
In fact, he revealed, he had intervened to stop them being even worse.
Meanwhile, the concerned Ulster public could only look on helplessly as Prime Minister Gordon Brown yesterday announced measures to combat the energy crisis in England and Wales.
A 910 million package, including provision for half-price insulation for all households and a freeze on this year's bills for the poorest families, will not apply to the Province.
Only an increase in cold weather payments (which kick in after temperatures drop below zero for seven days), from 8.50 to 25 per week, will come in here.
It is up to the Executive and Assembly to provide any other support in Northern Ireland.
Finance Minister Nigel Dodds said the Executive would have to examine what it could do to tackle the issue.
However, Sinn Fein said the Assembly's powers on the matter were limited.
The party's economy spokesman, Mitchel McLaughlin, said: "The Assembly, unlike other governments, has no tax-varying powers. The amount of finance available to the Department of Finance is determined by the British Treasury."
Furthermore, he said economic conditions are global and uncontrollable as far as the Executive goes.
But Executive colleague SDLP Social Development Minister Margaret Ritchie did not agree.
She said relief proposals to address the problems facing local households would be put to the Executive next week, if it meets (amid Sinn Fein's blocking of government business).
And, she suggested, they went beyond the Brown package.
At the Assembly's Enterprise Trade and Investment Committee, the regulator was challenged on the 33 per cent rise in electricity bills and 20 per cent jump in gas prices.
He said his watchdog organisation had to balance many factors, including the need for a viable energy industry, and had to plan for the long term, not just the short term.
"The announcements yesterday are clearly regrettable and are clearly going to have a serious impact on many people in Northern Ireland," he said.
"We consider the increases are justified, not in terms of some kind of trade-off in the interest of consumers against the companies, but justified in respect of the long, as well as the short-term interests of consumers."
DUP committee members Simon Hamilton and Robin Newton said that the rises in electricity and gas prices make a clearer and transparent consultation process essential.
Mr Newton said: "It is obvious in the aftermath of price hikes by NIE and Phoenix Natural Gas that regardless of how robust the present consultation process is, energy consumers in Northern Ireland are not as certain as some others that the current consultation process is as open, clear and transparent as it ought to be.
The Office of First and Deputy First Minister has also announced it would hold emergency talks on the energy crisis with energy companies, banks and other businesses and consumer groups.
Email to a friend
Print this page
Looking for...
Featured advertisers
Jobs
Search for a job
Motors
Search for a car
Property
Search for a house
Weather for Belfast
Wednesday 30 May 2012
Today
Light showers
Temperature: 12 C to 20 C
Wind Speed: 9 mph
Wind direction: South
Tomorrow
Light rain
Temperature: 11 C to 17 C
Wind Speed: 9 mph
Wind direction: West
