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  • Dear Readers!

    Family-run companies generate almost 50% of the German economy’s total turnover and provide over 50% of all jobs in our country. Our ‘Mittelstand’ (i.e. our SMEs) – which, we are constantly being told, is held in envy around the world – is the anchor that gives Europe’s largest national economy the stability it needs, driving growth across the whole of the continent. 83% of all apprenticeship jobs in Germany are created by SMEs. 1,307 of the globally identified 2,700 ‘Hidden Champions’ are German Mittelstand firms. So what have these facts got to do with public private partnerships?

    They are an opportunity for local authorities and their companies to become a part of this exceptional success story. Family-owned businesses focus on values, traditions and reliability across generations. More often than not, they are deeply rooted in their regions and actively involved in their communities. And it is this that enables them to enjoy long-term success. We believe it to be a good decision when a municipal partner chooses to have its essential public services provided by a joint venture with a private-sector partner. Learning from mistakes made and drawing the right conclusions for the future are two further strengths of family-run companies that have been able to enjoy decades of success on their markets thanks to their high levels of expertise and their special ethos.

    The need for greater efficiency by, on the one hand, dividing up tasks and specialising in specific areas and, on the other, keeping costs under control means that once again public private partnerships are being viewed as a future-proof business model.

    For decades now, REMONDIS has been showing every day that better results can be achieved by working together. With 64 PPP companies and a whole range of third-party service provision agreements, we have perfected the public private partnership concept for all essential public services – from waste management, to water management, all the way through to public transport – to the benefit of both parties. Working together with its municipal partners, REMONDIS delivers services to over twelve million people living in Germany. Local authorities and their residents always receive the highest quality of service possible and have the peace of mind that their fees and charges will remain stable over a long period of time.

    As a rule, public private partnerships are a real blessing for a council’s budget as they are a reliable source of tax revenue. The most can be made of the opportunities to optimise operations. Successful collaboration work with the private sector preserves public property and creates jobs. Fees and charges are stabilised and the pressure on the public purse is relieved.

    This latest special issue is dedicated to the subject of public private partnerships and takes an in-depth look at the various PPP models, the advantages for local authorities and their residents and the positive impact they have on jobs, the environment and the local economy. Councils wishing to achieve long-term budget stability, high quality public services and maximum levels of sustainability by operating an environmentally responsible circular economy will find some valuable suggestions and accounts in this issue to help them with their decision-making processes.

    We look forward to working with you!

    Yours Ludger Rethmann

Guaranteeing fees & charges remain stable

  • One of the big advantages of a PPP with REMONDIS is that fees and charges remain stable over a long period of time – and this is set out in the contract at the beginning of a partnership. This prevents the level of services being compromised.

Using private sector resources for public sector tasks

  • A partnership with REMONDIS enables the public sector partner to access all of the Group’s resources that are needed to provide the services. This also includes its extensive network of facilities, which comprises more than 800 plants that can process and treat a whole range of material streams.

Sharing investment risks

  • Many essential public services require large investments. Founding a PPP with REMONDIS means that the risks involved with future investment projects are shared between the partners.

Attaining sales revenue & annual dividends

  • When a local authority sells a share of a company to its private sector partner REMONDIS, it receives a one-off sum of money that takes the pressure off the public purse and gives it greater financial freedom to undertake other projects. Furthermore, the public sector partner also participates in the PPP’s business success as it receives dividends each year.

Greater levels of reliability & more jobs

  • In many respects, the hallmark of the collaboration work with REMONDIS is its consistency. Being a family-run business, the Group stands for reliability and cross-generational plans and actions. The number of people it employs has grown threefold in Germany since 2000 and 4.7% of its workforce are apprentices – a figure that is much higher than the average. It ensures it has a strong and stable financial base by having a high equity ratio of over 40%.

More climate action & resource conservation

  • Last but not least: one of the greatest challenges of our time is making sure we handle our planet’s natural resources sustainably. Working closely together with its public sector partners, REMONDIS plays a key role in cutting carbon emissions and tackling climate change – from safely recycling waste so materials can be returned to production cycles, to deploying innovative vehicle technology, all the way through to producing renewable energy.

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