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Study: Vienna is an international model for services of general interest

Fri, Jul 19, 2019

The authors of a current study come to the conclusion that Vienna is the world champion when it comes to services of general interest. Eurocomm-PR, a Wien Holding company, is making a contribution by cooperating with the Office for Services of General Interest and Communal Economics (BDK) of the City of Vienna.

The Office for Services of General Interest and Communal Economics (BDK) of the City of Vienna, in cooperation with the Austrian Society for Policy Advice and Policy Development (ÖGPP), prepared a study on the subject of “Remunicipalisation in Europe - facts, motives, examples”. Vienna stands out as an international role model in the study. While other cities privatized communal services such as council housing, energy supply, garbage disposal or water in the 1990s, Vienna decided against it for social and economic reasons. More and more European municipalities are now following the example of Vienna and are bringing privatized services back on their own and in better quality and cheaper than private companies.

Positive impact on local added value
The authors of the study explained that municipal spending has positive effects on local value creation: The expenditure of all municipalities in Austria on services of general interest generates an overall effect of around 39 billion euros, while those in Vienna alone generate an added value of 18 billion euros. The expenditures of the municipalities lead to an overall labor market policy effect of 460,000 full-time equivalents, Vienna's expenditures alone to 250,000 jobs.

At the presentation of the study, Mayor Michael Ludwig said: “The services of public services have a long tradition in Vienna. They are largely responsible for the best quality of life and the affordability of life in our city. That is why we did not participate in the privatization fashion, but steadily improved our services and, above all, the non-profit Viennese residential construction, even expanded. "

Cooperation between Eurocomm-PR and BDK
With a focus on various areas of public services - from water supply, sewage and garbage disposal to health and social services to local public transport - Eurocomm-PR cooperates and acts together with the BDK. The study presented in 2019 documents important examples of the remunicipalisation of services in the European Union. The economic value of public infrastructures and investments is also demonstrated both theoretically and using practical examples.

Eurocomm-PR: Vienna's bridge to Europe
Since January 1, 2016, Eurocomm-PR has been responsible for public relations for the City of Vienna in Belgrade, Budapest, Krakow, Ljubljana, Prague, Sarajevo, Sofia and Zagreb. Eurocomm-PR has offices abroad in all of the cities mentioned, while Bratislava is supported by the head office in Vienna. The aim is to continue to strengthen Vienna as a hub in the heart of Europe, to promote exchange between the cities and to secure Vienna's presence in the target markets, whereby it is important to preserve the self-determination of cities and municipalities in the field of public services. In this way, Europe should develop from an economic and monetary union into a social and environmental union.

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