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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

Services for almost 400,000 customers

An association of regional companies – Mark-E, Stadtwerke Lüdenscheid and ENERVIE Vernetzt – are the names behind the company ENERVIE, which supplies electricity, gas, heat and drinking water to almost 400,000 customers. The largest shareholders in this business are the City of Hagen, the City of Lüdenscheid and REMONDIS.

A ‘one-stop shop’

  • The ENERVIE Group provides services along the whole of the energy market supply chain: from energy generation, to trade and distribution, all the way through to sales – everything is offered by just one company. Moreover, it operates a 12,500km network so that it can deliver its energy to private households, its industrial and commercial customers, utility companies and local authorities.

“By contributing its restructuring expertise, REMONDIS has helped ENERVIE to remain a sustainable, reliable and innovative regional energy provider for its customers.”

Erik Höhne, Board Chair of ENERVIE – Südwestfalen Energie und Wasser AG

The challenge of the energy switch

  • ENERVIE produces electricity from natural gas, biomass, solar energy, wind and water and currently has an output of around 600 megawatts. Over the last few years, the group has been transforming the way it generates its power and, by doing so, has been making a significant contribution towards curbing climate change as its power plant portfolio becomes ever greener. It has systematically been giving up its coal-fired power stations and its older gas power stations. One of the main challenges of switching from fossils to renewables is having access to a reliable supply of energy as the amount of electricity supplied by wind and solar power fluctuates greatly. Pumped storage power plants can play a very useful role here.

    • Enervie provides its customers with a comprehensive range of advice, services and documents covering electricity, gas and water supply

Successful environmental protection

  • With this in mind, ENERVIE’s subsidiary Mark-E has been collaborating with the Aachen utilities company, Stadtwerke Aachen, to redevelop the pumped storage power plant in Finnentrop-Rönkhausen, a district in the Sauerland region, so that it can continue to deliver clean energy whenever it is needed for at least another 30 years. The plant has an overall output of 140 megawatts and a storage capacity of around 735 megawatt hours. This renovation work will open up long-term energy opportunities for both partners. As a result, this customised production of energy is helping support the switch from fossil fuels to renewables and is also a success story for the environment, economy and jobs in general.

    The Rönkhausen pumped storage power plant in the Sauerland region is one of just two pumped storage power plants in the German state of North Rhine-Westphalia

Facts & Figures

  • ENERVIE – Südwestfalen Energie und Wasser AG

    • PPP model:
      public-private joint venture

      Main shareholders:
      42.66% City of Hagen
      24.12% City of Lüdenscheid
      19.06% REMONDIS

      Specialises in:
      supply & network infrastructure (electricity, gas, heat, water), generation of electricity & heat (natural gas, biomass, waste), hydroelectricity, wind / solar energy, pumped storage power plant, production of drinking water

    • Sales volume:
      6,403 million kWh electricity
      5,236 million kWh gas
      51 million kWh heat
      17.6 million m3 drinking water

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