The Government has blocked calls for a binding public vote before Irish Water can be sold off.
Fine Gael and Labour voted against a move which would have forced the Government to honour the outcome of any public vote.
Although the new water laws would require a public vote, opposition TDs say it would not be binding.
Independent TD Denis Naughten says the Government is trying to hoodwink people by telling them Irish Water is safe in public hands.
He said: "That's not what is in this legislation, and you're deceiving the public.
"Now, I'd like to put the word stronger, but I can't under parliamentary rules, but you are deceiving the public in relation to what you have said, because that's not what is in the legislation."