09.01.2020

Luther advises municipal utilities on founding an alliance

On 1 January 2020, Stadtwerke SH GmbH & Co. KG commenced operations. The newly founded cooperation company takes over the operational management of the Schleswig-Holstein public utility companies in Schleswig, Eckernförde and Rendsburg. Luther Rechtsanwaltsgesellschaft provided legal advice to the three municipal utilities in the establishment and structuring of the alliance.

Background

With 75,000 customers, nearly 500 employees and a total turnover of EUR 180 million, Stadtwerke SH will be a medium-sized, powerful municipal utility. The cooperation company sees itself as a service provider for the three municipal utilities. They will retain their independence and continue to operate their respective networks and facilities. The managing directors of the municipal utilities jointly form the management of Stadtwerke SH; all employment relationships between employees and municipal utilities are transferred to Stadtwerke SH. The councils of the three municipalities gave the go-ahead for the major project in November 2019.

"With the establishment of the operating company, the three municipal utilities intend to pool their expertise in order to meet the challenges of energy policy and social changes such as climate change, digitalisation and the shortage of skilled workers," explains Wolfgang Schoofs, Managing Director of Schleswiger Stadtwerke. "Together, broadband networks or the charging infrastructure for e-mobility can be expanded more quickly and greater progress made in the development and implementation of climate-friendly energies," adds Schoofs.

For the municipal utilities of Schleswig, Eckernförde and Rendsburg:

Luther, Corporate/M&A: Dr Christian Horn (Partner, lead), Elisabeth Lepique (Partner), Susanne Abraham (Associate)

Luther, Antitrust Law: Dr Guido Jansen (Partner)

Luther, Public Procurement Law: Dr. Rut Herten-Koch (Partnerin)

Luther, Employment Law: Prof. Dr Robert von Steinau-Steinrück (Partner)

Luther, Tax Law: Ulrich Siegemund (Partner), Dr. Frank Seidel (Counsel)

Author