Existing directors of Irish Water and its parent company Ervia, formerly known as

Bord Gáis, are likely to have to reapply for their positions when the two boards are merged next month.

Candidates for the merged board will also have their qualifications and suitability tested by New Era, the body established by the Coalition to manage the Government’s shareholding in semi-State companies.

The new board will have to be ratified by the entire Cabinet, rather than simply approved by the Minister for the Environment and the Minister for Communications, as was the case with the Irish Water board.

Cabinet ratification

Arrangements as to how the new board will be recruited and structured are being finalised but a Government spokesman said it is expected Cabinet ratification will be required because the board is a new entity.

It is also expected that those currently on the boards will have to reapply for their positions under the new public appointments system, introduced following the recent controversy involving the Irish Museum of Modern Art.

Twelve appointments were made to the board of Irish Water in 2013 by its parent company Bord Gáis Éireann but these were approved in advance by then ministers Phil Hogan and Pat Rabbitte.