The issue of the waterworks was voted unanimously at the general assembly in Debrecen
One of their options was to start negotiations with the state representative about the voluntary transfer of assets, the other was not to. Mayor László Papp announced as an introduction to the debate that he does not support the handover. There are basically two reasons for this, one is that Debreceni Vízmű Zrt., as a member company of the Debrecen asset management company, is an important money-generating part of it, and the other is that water supply is also a strategic business that “cannot be left out of the hands of the municipality”.
The latter was also supported by the debate, which was conducted by a representative in connection with another item on the agenda, the sale of real estate in the Southern Economic Zone, and where the water demand of the companies that would settle there, including the planned Chinese battery factory, was discussed. It was said that the book value of the water works in Debrecen is about HUF 30 billion, this year will be the first year of loss, and that it is planning major developments without any difficulty. In addition to Cívisváros, there are also 33 other settlements involved, but three have already decided to secede.
Not at the expense of others
– Debreceni Vízmű Zrt. is a company that generates a large amount of liquidity for Debreceni Vagyonkezelő Zrt. Due to the current price regulation, this is the first year that the Debrecen Waterworks will be unprofitable – mayor László Papp pointed out during the discussion of the proposal on the transfer or non-transfer of the water utility assets at Thursday’s general assembly. – We have informed the 33rd settlement in whose territory the Debrecen waterworks provides co-service, and we draw their attention to the fact that they can remain in the service if they undertake to pay their share of the loss service. Most of them will decide to choose Nemzeti Vízművek Zrt. instead of Debrecen. But I don’t think that Debrecen taxpayers’ money should be used to finance the loss of water utility services in other settlements, said the mayor.
All opposition representatives who spoke assured the panel of their support for the proposal. Answering the questions of Ábel Csanád Kőszeghy (independent) and Imre Vaszkó (DK), Ferenc Gorján, CEO of Debreceni Vízmű Zrt., said:
According to the books, the value of the water utility’s assets is about HUF 30 billion, and its indexed value can reach HUF 60 billion. Last year, the cost of the electricity they used was HUF 600 million, it is expected to be HUF 1.4 billion, and next year it will be HUF 2.5 billion.
The operating result, if everything were to remain as it was (although in the meantime three settlements, Hajdúszoboszló, Berettyóújfalu and Földes, have already decided to leave), would be a loss of HUF 2.9 billion, but if only Debrecen remained, and only the energy price is calculated, it would be HUF 1.4 billion the expected loss.