The Economic Management Council has been looking at the affordability of water charges and providing certainty for households.
Finance Minister Michael Noonan says the government will be announcing a number of decisions in the coming weeks.
Tomorrow, more than 100,000 people are expected to take to the streets in towns and cities around the country for some 80 demonstrations in protest against the charges.
Mr Noonan says whatever the government decides, there will have to be charges.
He has also criticised the opposition, claiming they are latching onto the issue as it is the only thing they can criticise the government on.
Meanwhile, the head of the country's largest trade union is calling for a different approach to opposition to the water charge.
The Right2Water campaign is backed by unions including Mandate and UNITE - but SIPTU will not be taking part in tomorrow's protests.
SIPTU general president Jack O'Connor told Newstalk Breakfast earlier that preventing the introduction of the charge means the public would have to meet it through general tax - and would end up paying more.
Meanwhile every home in Ireland is due to get €100 off their water bill, according to new plans from the government.
The Irish Independent reports the tax relief may be extended to try to ease mounting pressure over the water charges, with more than 80 rallies planned against the fees tomorrow.
It is understood that everyone may qualify for the discount, regardless of the size of their bill.
A social welfare payment of €100 will now only be available to welfare recipients once they have paid their bill.
A cap on water charges is also being considered by the government, according to the report, but householders with a meter would still be able to pay the metered rate if it was lower.
Following the Budget, taxpayers will be allowed to claim tax relief worth up to €100 at lower income tax rate of 20%.
As members of the government have stated previously, they may also consider extending the flat rate charge for Irish Water.
