The Chambers of Commerce of Ireland (CCI) has called for the introduction of water charges so all users can pay their fair share of the rising cost of water supply.
CCI chief executive Mr John Dunne said the cost the Government has failed to meet the full cost of water services for domestic users while the cost to business had risen by 16 per cent in 2003.
Mr Dunne said the allocation to the Local Government Fund for the provision of domestic water supply fell in real terms dropped by more than 10 per cent in 2003.
He said the Government cannot continue to expect business to contribute more than its fair share for local authority services and if it is not prepared to meet its obligations then it must allow local authorities to start charging domestic customers for the water they use.
"Not alone would this be in line with the 'polluter pays' principle but it would also ensure adequate funding of local authorities, " Mr Dunne said.
"If it is not prepared to take this unpopular step then it must prove its commitment to adequately funding local authorities by increasing the general purpose grant by at least €100 million in Budget 2005," he argued.
The CCI is also advocating a property tax to be levied on all property excepting principal private dwellings, which the CCI said "need not be a disproportionate burden on anyone".