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Innovative partnership at the Innovative partnership at the service of citizens and the service of citizens and the
environment: best practice in environment: best practice in transport, water and waste sectors transport, water and waste sectors
Water management by MIDEWAWater management by MIDEWA
Peter KunertPeter KunertChairman of the supervisory board of Chairman of the supervisory board of
MIDEWAMIDEWA
Brussels, 5th October 2010
Slide 2
Overview
I.
II. Initiation of the PPP-model MIDEWA
III. MIDEWA today
IV.
Foundation of MIDEWA
10 years of PPP - summary
V. Summary
Slide 3
I. Foundation of MIDEWA
Municipal holding
company
Mitteldeutsche
Wasser und
Abwasser
GmbH
StadtwerkeZweckverbände
GemeindenTakeover of independent
power 1992 - 1995
MIDEWA Wasserversorgungsgesellschaft in Mitteldeutschland
mbHFoundation on 05.12.1996 through
280 municipalities
Transferee
The MIDEWA Wasserversorgungsgesellschaft in Mitteldeutschland mbH was founded as part of the divestiture of Mitteldeutsche Wasser und Abwasser GmbHin 1996.
The detachment of the water supply and wastewater disposal from theformer company entailed the need for municipalities that did not aspire own solutions, to find a supply structure and organization. In consequence, 116 municipal partners founded MIDEWA. Theyrepresented about 280 mostly small municipalities, which partly have joined in associations or in a municipal holding company.
Slide 4
II. Initiation of the PPP-Model MIDEWA
⇩ outdated water supply systems and high investment needs⇩ no loan extension by the banks due to over-indebtedness and mismanagement ⇩ preservation of the local community of interests and responsibilities
Maintenance of public control– Strengthening of financial power - Benefit from private know-how
Sales revenue remains in the MIDEWA to reduce liabilities
European tender of 25.1% of the shares and the operational management aiming at the participation of a private partner
Veolia-subsidiary OEWA Wasser und Abwasser GmbH wins the tender
Slide 5
II. Initiation of the PPP-Model MIDEWA
⇩ Entrepreneurial partnership between the municipalities - MIDEWA – OEWA/Veolia⇩ Preservation of the autonomy of MIDEWA through majority of shares⇩ Transfer of private know-how⇩ Support of local interests
⇩ Creation of an efficient Organization⇩ Sustainable human resources policy⇩ Water-pricing policy with incentive system⇩ Quality assurance concept – infrastructure and water quality⇩ Establishment of an integrated quality management system⇩ Continuous investments in water supply installations ⇩ Utilization of synergies⇩ Market development and marketing activities ⇩ Evolution of a water company to an environmental service provider
Slide 6
MIDEWA – scope of services
Wastewater disposal
Public lighting
Management of municipal
swimming baths
Heat supply
Industrial
services
Services for the flooding of
lignite mines
Further
services
Water
supply
Slide 7
III. MIDEWA – today in Sachsen-Anhalt
Turnover 2009 45 Mio. €
Supply area 3.110 km²
No. of staff 400
Population (wastewater disposal) 210.000
No. of customers 104.100
Population (drinking water) 370.000
Drinking water volume 2009 20,2 Mio. m³
Municipalities supplied 85
• BerlinBerlin
Slide 8
III. MIDEWA – member of the Veolia Wasser Group
50% 100%
74,9%
25,1%
50%
74,9%
(1990)
(1999)
(2001)
(2003)
(2006)
(2003)
FSA FernwasserSachsen-Anhalt
GmbH
Wärme- und Energieges. GHC mbH (WEG)
INFRA Service Sachsen-Anhalt GmbH
(2009)
(2007)
(2004)
49 % 100 % 50 %
45,8 %
100 %
Slide 9
Independent, successful, majoritarian municipal company with high reputation
Service provider in the infrastructural and environmental sector – all under one roof!
Balanced distribution of concession and management contracts
Three water price reductions through an incentive system in co-operation with the
private partner
Solidarity ensures consistent prices
IV. 10 years of PPP - summary
1,65 1,68 1,71 1,73 1,76 1,79 1,821,86
1,91 1,92 1,94
1,65
1,50 1,50 1,50 1,47 1,44 1,44 1,44 1,44 1,44 1,44
1,40
1,60
1,80
2,00
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Jahr
€ / m
³
Reference price incl. Inflation rateIST quantity net price MIDEWA Constant basic charge
Slide 10
Performance-enhancing company agreement with job security and health
management, high proportion of trainees and consistent training of staff
Customer-oriented structures and service guarantees
Certified in quality, environmental and safety management
Certified in job and family (Beruf und Familie)
Replacement of 300 km water supply pipes, reducing the water losses by half
Fair co-operation between MIDEWA und OEWA/Veolia Wasser
IV. 10 years of PPP - summary
Slide 11
Incited by the PPP model, MIDEWA developed from a municipal water supply company to a successful
environmental services provider
Summary