Remunicipalization in Europe since 2000 (as of 2020)

Services of general interest are focused on serving the common good. This means that essential public services are available to all people at affordable prices. Private companies, on the other hand, mainly focus on generating the biggest profit possible. An offered service, that is not profitable enough, is of no interest to private operators.
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352 IN THE ENERGY SECTOR

In Germany there has been a recent wave of remunicipalization in the energy sector, favoured by many expiring concession agreements (which were concluded in the 1990s). As a matter of fact, municipalities – as of 2020 – have seized the opportunity to transfer 305 energy suppliers back into municipal responsibility and hence public control.

183 IN THE SECTOR OF WATER SUPPLY

Most remunicipalizations in the water supply sector took place in France (109). More and more French municipalities are renouncing the long tradition of private water supply and, often supported by strong groups out of civil society, have transferred the service back under municipal control.

305 IN OTHER SECTORS

Services of general interest also include services of a smaller magnitude, like for an example cleaning services, bicycle rental, street lighting, etc. as well as public healthcare, running and managing social and educational facilities and providing telecommunication services. Alongside Germany (76), the United Kingdom of Great Britain and Northern Ireland has already seen many cases of remunicipalizations in these areas. However, the energy and waste sectors, public transportation and even the water supply have also been remunicipalized in many places. That shows that even in the so-called motherland of privatization, the UK, the process of rethinking privatization is gaining ground.

10 IN AUSTRIA

In Austria, the trend of privatization did not only set in later, but also to a lesser extent than in other European countries. Why is that? As there was little privatization in the first place, there were also only a few remunicipalizations as a consequence. The cases of remunicipalization, that have happened in the past, have been on a very small-scale in most cases and took place across very different geographical regions and business sectors (e. g. tourism, culture, public transport) within Austria. In addition, Vienna as the only Austrian city with more than a million inhabitants, is internationally regarded as a stronghold of public ownership and as a poster child of municipal management.

1,408 WORLDWIDE

Between 2000 and 2020, a total of 1,408 services have been returned to public ownership in 58 different countries around the world. With 955 cases of (re)municipalizations, around two thirds of all the cases took place in Europe.

Study Remunicipalization in Europe (2019)