Environment Minister John Gormley has told the Dáil that he will be initiating an assessment of the transfer of responsibility for water services provision, from the councils to a national water authority.
Mr Gormley said the assessment will be completed by the end of the year.
Speaking on a Fine Gael motion calling on the Government to establish a single publicly-owned water utility company, the minister said the Government had committed €320m to finding and fixing water leaks.
He said the Government had not ruled out assessing the need for a national water authority, and said it would consider this issue on an informed basis.