Northern Ireland consumers should not have separate water bills, an independent review panel has recommended to the Stormont Executive.
The panel's suggestions overturn many of the key points contained in the proposals of Direct Rule ministers to fund water and sewerage services which are in need of substantial investment.
However, the Independent Water Review Panel established shortly after devolution was restored to Stormont, has found that the Direct Rule proposals including separate water charges levied in addition to domestic rates should be dropped.
The panel calls for no metering of domestic water consumption, the abandonment of any plans to privatise water services, no standing water charges and no separate billing or collection system.
Strand One of the panel's report, released in Belfast yesterday is estimating potential savings to householders of £143 million next year, rising to £153 million in 2009-10.
In a key submission, the panel accepts that consumers already pay a water charge, argueing that domestic rates already contain an element specific to water costs.
"Let's be clear: Northern Ireland households shouldn't have to pay twice," review chairman Prof Paddy Hillyard said.
"They are already paying on average £160 per household for their water and sewerage services."
Under his proposals he said consumers would not have to pay additional sums towards water and sewerage for a further 18 months.
The review panel said that from 2009-10, the extra average household contribution will equate to about £145, or the cost of three small bottles of water on a weekly shopping bill. It also claimed that for many this figure will be lower still as calculations will be based on property values based on January 2005 values, before the recent sharp rises. The new scheme would also be supported by an improved affordability scheme to prevent water poverty.
Prof Hillyard ruled out proposals to install domestic water meters on the basis of estimated cost. He said the average £47 cost per year to install and run meters would hit poorest families hardest and he called for the idea to be scrapped. "There are other cheaper ways to conserve water," he said.
The review was initiated by Regional Development Minister Conor Murphy last summer.
The Sinn Féin Minister is charged with finding the means to fund the rebuilding of Northern Ireland's water and sewerage infrastructure, which has suffered from investment neglect throughout the Troubles.
The panel further recommended that Northern Ireland Water's operating cost efficiency target should be raised from 22 per cent to what it says is "a more challenging but still achievable target [ of] 40 per cent".
Prof Hillyard criticised the process of water reform under Direct Rule claiming it lacked openness and transparency.
"We met with the treasury and their attitude was that as long as they didn't have to pay any more we could do what we liked."
The Consumer Council welcomed the proposals as the best and most practical starting point for getting the right deal for consumers.