Fianna Fáil will table legislation on the abolition of Irish Water and suspension of water charges ahead of entering negotiations with Fine Gael on a minority government.
The party is understood to be putting the final touches to a Bill that will scrap the utility and postpone water charges for five years.
Party leader Micheál Martin is said to be willing to allow the Dáil to decide the future of the charges.
It is understood that Irish Water has not featured in any of the negotiations between Fianna Fáil, Fine Gael and Independent TDs.
The position of the utility is also not referenced in the policy paper of priorities prepared by Fine Gael.
A Fine Gael source said it was “obvious that even the Independent TDs have differing views on Irish Water. In the Independent Alliance and the grouping of rural TDs, the majority of TDs would be in favour of retaining the charges, but there would be a few that want rid of them.
“Only one TD has brought it up in talks,” the source said. “We have a paper which runs to hundreds of pages and Irish Water is not mentioned once.”
The fate of Irish Water could be a point of contention between the two big parties in any government-formation talks.
Recent legal advice to Irish Water said there is no possibility under European law for the State to suspend or get rid of water charges.
Fianna Fáil TD Seán Fleming responded by saying his party would press ahead with its election promise to abolish the utility and suspend water charges for five years.
Sources in Fine Gael said they will not alter their stance on Irish Water. One Minister even labelled it a “red-line issue” for the party.
Meanwhile, Fine Gael will today present the 15 Independent TDs with their final policy paper of priorities, which the party hopes will form the basis of a new programme for government.
It will proposes the introduction of new measures to help first-time buyers, a sugar tax and the establishment of a cystic fibrosis unit at St Vincent’s Hospital.
The party will also call for an Oireachtas committee to examine any reduction in the universal social charge.
A number of Independent TDs yesterday expressed anger about a tweet posted by Minister for Health Leo Varadkar on Sunday, in which he said his posters were ready for a second election if necessary.