Environment Minister Phil Hogan says it was necessary for Irish Water to spend large sums on money on consultants. It emerged yesterday that of the €100 million in compnay start-up costs, over half was paid on various consultancies.
Minister Hogan says its not possible to establish a company correctly without spending money and it cannot be done 'off the top of your hat'.
He has told KCLR that he believes the money was spent effectively.
Meanwhile Fianna Fail's spokesperson on the environment, Barry Cowen, has called for transparency on the issue.
The management team at Irish Water are being called before the Dail Public Accounts Committee (PAC).
The cross-party group wants to know why the new utility company spent so much on consultants as it established itself.
Fine Gael TD and PAC member Simon Harris says the CEO of Irish Water needs to explain.
The Tanaiste Eamon Gilmore has said that if invited by the Oireachtas Committee to explain their consultancy expenditure, Irish Water must do so.
John Tierney, Managing Director of Irish Water, told Newstalk Breakfast earlier he could not confirm what kind of charges consumers will face.