Kilkenny County Council is hoping that in order to meet its commitments to Kilkenny’s water and sewage services, that the government will agree to fund 100 percent of the water Investment Programme set out for 2010 - 2012.
A total of €60 million is required for the council to fulfil the needs of the Water Services Investment Programme but the government normally funds up to two thirds of the cost of the works - however, this year, the council has asked that the government fund the additional €17million surplus as they simply do not have the funds to support the programme.
“Funds are lower than normal because of the lack of development charges coming into the council,” said director of services Philip O’ Neill.
“Before we would have had an adequate sum coming in from building works taking place around the county but this is just not happening now and so funds have stopped coming through. We have written to the department to see if they will consider funding the whole programme in the circumstances and we are waiting to hear their response,” he added.
If the government refuses to offer the funds to the local authority, it will be necessary for the council to take out an additional loan for the programme. The council already has a loan of 8.5 million for capiital programme funding. It would require additional department borrowing approval to access extra funds and would need to show annual repayment capacity from the council resources.
