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The City of Frankfurt am Main and REMONDIS are joint shareholders of FES Frankfurter Entsorgungs- und Service GmbH. FES soon became profitable by optimising its core services and entering new fields of business. City Treasurer Uwe Becker talked about this successful PPP that has been offering high quality and cost-effective services for two decades now.
Uwe Becker: Without a doubt. The decision of the city authorities to transform its waste management and city cleaning department into the firm FES and to join forces with the privately run company REMONDIS was definitely the right one. Thanks to this decision, the waste management services in Frankfurt reflect the highest environmental, technical and social standards whilst still being cost effective and of a really high quality.
By having REMONDIS contribute their know-how, we’ve not only succeeded in securing jobs but also in expanding our workforce. The success of the business is further proof that we made the right call back then: FES has contributed more than 300 million euros to the city coffers over the last 20 years. These funds have been used to stabilise the fees paid by our local residents for waste management and city cleaning services. In fact, we even managed to reduce waste management fees just a few days ago.
“The waste management services in Frankfurt reflect the highest environmental, technical and social standards whilst still being cost effective and of a really high quality.”
Uwe Becker, Head of the Department for Finances, Equity Holdings and Church Matters in Frankfurt am Main
Uwe Becker: Right from the very beginning, our goal has been to extend the range of services being offered to our local residents – both in the areas of waste management and city cleaning. FES has already invested more than 200 million euros in modernising and overhauling its business – such as in new vehicle technology, facilities and buildings – as well as in the workforce itself. The latter is particularly important if FES wishes to further extend its role as a full-service provider in the Rhine-Main region. FES has around 1,300 employees who are paid in line with collective wage agreements. Our employees are the heart and soul of our company and our most important capital. They use their know-how and expertise to ensure our services are of the highest possible quality and delivered as efficiently as possible.
Uwe Becker: FES is certainly an important factor for companies looking to settle in this region. Both businesses and local residents expect to find a reliable, high quality waste management system in place and so FES definitely makes our city more attractive. The company’s wide range of services – such as collecting bulky waste and hazardous substances – is also a great advantage here. Furthermore, it is essential that a city that requires so many services in such a concentrated area, such as Frankfurt, has a company closely linked to the council that can offer many jobs.
Uwe Becker: Being the main shareholder in FES, the city council can, of course, exert influence on the company so that such a large logistics business also achieves its climate goals. FES is serving as a role model here, too, which is fantastic. Our waste-to-energy plant, for example, produces electricity and district heat for 45,000 households. The composting system used by Rhein Main Biokompost GmbH, one of FES’ subsidiaries, generates biogas which is also used to produce electricity and district heat; the heat is channelled to Samson, which is located nearby. This is an excellent example of successful collaboration.
Uwe Becker: Yes, because we can react with FES and master any challenges the future may bring with it. The company is able to make quick decisions regarding its workforce and investments in vehicles and facilities. What’s more, it’s very useful having a national and international firm such as REMONDIS as our partner here.
City Treasurer Uwe Becker is Head of the Department for Finances, Equity Holdings and Church Matters in Frankfurt am Main. He is on the CDU state executive committee and Deputy Federal Chairman of the CDU/CSU ‘KPV’ (Local Government Association). Moreover, he is a member of the executive committee of the Association of Cities and Towns in Hessen and of the executive committee of the Association of German Cities and Towns.
Further details about the PPP company in Frankfurt and its range of services can be found under case studies.