Political and financial factors motivating privatisation, its reverse and corporatisation of municipal waste collection

Figures & data

Figure 1. Shares, for different collection modes, 1998–2018.

Table 1. Number of municipalities switching mode and staying the same, 1999–2018.

		To					Number shifts	Observations
		In-house	Neighbour	IMC	Corporation	Private
From	In-house	63	11	28	62	38	139	202
	Neighbour	6	4	11	4	14	35	39
	IMC	17	10	41	51	21	99	140
	Corporation	8	0	4	36	69	81	117
	Private	33	14	60	89	118	196	314
Number shifts		64	35	103	206	142	550	-
Observations		127	39	144	242	260	-	812

Numbers in italics indicate shifts towards outside production and in bold shifts towards inside production.

Table 2. Number of municipalities switching mode and staying the same, 1999–2018.

		To
		In-house	Neighbour	IMC	Corporation	Private	Number shifts	Observations
Panel A: 2014–2018
From	In-house	53	0	0	8	5	13	66
	Neighbour	2	13	3	0	0	5	18
	IMC	2	3	54	2	1	8	62
	Corporation	2	0	1	108	12	15	123
	Private	9	4	19	20	94	52	146
Number shifts		15	7	23	30	18	93	–
Observations		68	20	77	138	112	–	415
Panel B: 2009–2013
From	In-house	67	3	8	8	6	25	92
	Neighbour	1	9	3	2	1	7	16
	IMC	6	0	42	5	12	23	65
	Corporation	3	0	1	119	27	31	150
	Private	4	5	16	24	119	49	168
Number shifts		14	8	28	39	46	135	–
Observations		81	17	70	158	165	–	491
Panel C: 2004–2008
From	In-house	78	4	9	19	15	47	125
	Neighbour	2	10	1	0	7	10	20
	IMC	6	3	52	35	7	51	103
	Corporation	3	0	2	78	25	30	108
	Private	11	4	15	23	139	53	192
Number shifts		22	11	27	77	54	191	–
Observations		100	21	79	155	193	–	548
Panel D: 1999–2003
From	In-house	106	4	11	27	12	54	160
	Neighbour	1	7	4	2	6	13	20
	IMC	3	4	73	9	1	17	90
	Corporation	0	0	0	37	5	5	42
	Private	9	1	10	22	173	42	215
Number shifts		13	9	25	60	24	131	–
Observations		119	16	98	97	197	–	527

Numbers in italics indicate shifts towards outside production and in bold shifts towards inside production.

Figure 2. Shifting trends 1999–2018 (left) and sub-periods.

Figure 3. Reverse shifting trends 1999–2018 (left) and sub-periods.

Table 3. Descriptive statistics.

	Mean	Maximum	Minimum	Std. Dev.
Corporatisation	0.12	1.00	0.00	0.32
Cooperatisation	0.06	1.00	0.00	0.23
Reverse in-housesation	0.09	1.00	0.00	0.28
Privatisation	0.09	1.00	0.00	0.29
Reverse privatisation	0.10	1.00	0.00	0.30
Inhabitants (/10,000)	3.87	83.36	0.09	6.28
Household size	2.42	3.67	1.66	0.21
Population density	0.71	5.35	0.00	0.86
Elderly people (share)	0.16	0.31	0.06	0.03
Ethnicity (share)	0.05	0.38	0.00	0.05
Income per inhabitant (€,/10,000)	13.94	24.90	7.80	2.00
Unemployment	0.02	0.11	0.00	0.01
Municipal debt per inhabitant (€,/1,000)	1.90	11.68	0.00	1.40
Fragmentation I: Parties aldermen/parties	0.92	2.00	0.33	0.19
Fragmentation II: Effective number of aldermen	3.00	8.33	1.00	0.82
Fragmentation III: Absolute number of parties in board	3.11	7.00	1.00	0.86
Aldermen_VVD (share)	0.16	0.75	0.00	0.17
Aldermen_CDA (share)	0.25	1.00	0.00	0.19
Aldermen_CU/SGP (share)	0.07	1.00	0.00	0.15
Aldermen_D66 (share)	0.04	0.50	0.00	0.10
Aldermen_PvdA (share)	0.18	1.00	0.00	0.19
Aldermen_GL (share)	0.04	1.00	0.00	0.09
Aldermen_SP (share)	0.01	0.60	0.00	0.06
Fragmentation I: Parties council/Council seats	0.33	0.71	0.13	0.08
Fragmentation II: Effective parties council	5.28	11.31	1.69	1.35
Fragmentation III: Absolute number of parties council	6.92	16.00	3.00	2.03
Council_VVD (share)	0.15	0.48	0.00	0.08
Council_CDA (share)	0.21	0.74	0.00	0.09
Council_CU/SGP (share)	0.07	0.59	0.00	0.11
Council_D66 (share)	0.04	0.31	0.00	0.06
Council_PvdA (share)	0.16	0.54	0.00	0.10
Council_GL (share)	0.04	0.38	0.00	0.05
Council_SP (share)	0.02	0.43	0.00	0.05

Table 4. Estimation results.

	Corporatisation		Privatisation		Cooperatisation		Reverse in-housesation		Reverse privatisation
	Council	Aldermen	Council	Aldermen	Council	Aldermen	Council	Aldermen	Council	Aldermen
Inhabitants	−0.05*	−0.10***	0.06**	0.04	−0.03	−0.04	0.08*	0.04	0.03	0.00
Inhabitants^2	0.001**	0.001***	0.000	−0.000	−0.001	−0.000	−0.004*	−0.003	0.000	0.000
Household size	−0.60	−0.94***	2.43***	2.48***	−0.31	−0.23	−0.73*	−0.55	2.24***	2.02***
Population density	0.16**	0.13**	−0.07	−0.09	0.16*	0.12	0.08	0.09	−0.12	−0.15*
Elderly people	3.73*	3.23*	3.94	3.24	−9.23***	−9.40***	2.82	3.27	6.85***	6.64***
Ethnicity	−3.35*	−2.52	−1.81	−0.34	3.679	2.39	−2.70	−2.44	−1.62	−1.37
Income per inhabitant	−0.11***	−0.07**	0.18***	0.18***	0.02	0.01	−0.05	−0.03	0.12***	0.12***
Unemployment	−52.54***	−58.80***	−12.75	−19.75*	−42.36***	−44.25***	−58.82***	−56.58***	−10.90	−18.13*
Municipal debt per inhabitant	0.02	0.02	0.03	0.03	−0.04	−0.04	0.17***	0.17***	0.03	0.01
Fragmentation council I	0.75	-	0.53	-	0.85	-	−0.82	-	1.63**	-
Council_VVD	2.22***	-	2.00***	-	0.58	-	1.50**	-	0.12	-
Council_CDA	−1.39***	-	−1.08*	-	2.43***	-	1.00	-	−0.28	-
Council_CU/SGP	−0.26	-	0.15	-	−1.12*	-	1.58***	-	−0.86**	-
Council_D66	0.02	-	−2.37**	-	−3.54***	-	0.17	-	−4.32***	-
Council_PvdA	0.10	-	−0.20	-	−0.96	-	0.84	-	−1.32**	-
Council_GL	−1.73**	-	−2.01**	-	−2.32*	-	−0.88	-	−0.08	-
Council_SP	−1.10		3.62***		−0.29		0.16		1.99**
Fragmentation board I	-	−0.46*	-	−0.51*	-	0.27	-	−1.09***	-	−0.15
Aldermen_VVD	-	0.07	-	0.05	-	−0.53	-	0.97***	-	−1.44***
Aldermen_CDA	-	−0.14	-	−0.59**	-	0.32	-	0.61**	-	−0.57**
Aldermen_CU/SGP	-	0.17	-	−0.50	-	−0.80*	-	1.73***	-	−0.88***
Aldermen_D66	-	1.25***	-	0.15	-	−1.22*	-	0.21	-	−0.01
Aldermen_PvdA	-	−0.15	-	0.00	-	−0.82**	-	0.99***	-	−0.49*
Aldermen_GL	-	−0.48	-	−0.45	-	−1.64**	-	−0.81	-	−0.91
Aldermen_SP	-	0.89		1.30*		−0.69		0.87		1.12*
Year trend	−0.05***	−0.06***	−0.05***	−0.04**	0.10***	0.09***	−0.09***	−0.10***	−0.01	−0.01
Constant	1.50	2.90**	−11.03***	−10.15***	−1.74	−1.06	0.55	0.61	−10.29***	−8.50***

***, **, * indicate significance at the 0.01, 0.05 and 0.10 levels, respectively.

Table 5. Effect dummies years before elections.

Years before election	Three	Two	One
Model with council variables
Corporatisation	−0.07	−0.05	−0.28**
Privatisation	0.08	0.20	0.12
Cooperatisation	−0.01	0.15	0.06
Reverse in-housesation	−0.03	−0.04	0.12
Reverse privatisation	0.17	0.21*	0.09
Model with aldermen variables
Corporatisation	−0.09	−0.07	−0.22**
Privatisation	0.08	0.20	0.12
Cooperatisation	0.00	0.17	0.08
Reverse in-housesation	−0.04	−0.05	0.11
Reverse privatisation	0.17	0.21*	0.11

Estimation model is equal to those in Table 4 except that trend variable is replaced by dummies years before election.

*/**/*** means significance of 10%/5%/1%.

Table A1. Estimation results for effective number of parties as fragmentation index.

	Corporatisation		Privatisation		Cooperatisation		Reverse in-housesation		Reverse privatisation
	Council	Board	Council	Board	Council	Board	Council	Board	Council	Board
Inhabitants	−0.05**	−0.06***	0.04	0.05**	−0.05	−0.07*	0.13***	0.10**	−0.01	0.01
Inhabitants^2	0.00**	0.00**	0.00	0.00	0.00	0.00	−0.01**	0.00*	0.00*	0.00
Household size	−0.68*	−0.86**	2.53***	2.50***	−0.38	−0.27	−0.72	−0.53	2.12***	2.03***
Population density	0.15**	0.13**	−0.08	−0.08	0.15	0.12	0.08	0.09	−0.14	−0.15*
Elderly people	3.43*	3.97**	4.29*	3.34	−9.49***	−9.89***	2.83	3.25	6.48***	5.65***
Ethnicity	−3.20*	−1.87	−1.86	−0.39	3.58	2.01	−2.64	−2.74	−1.70	−1.42
Income per inhabitant	−0.11***	−0.08**	0.19***	0.17***	0.02	0.02	−0.05	−0.04	0.12***	0.11***
Unemployment	−53.82***	−57.32***	−11.66	−19.00*	−42.73***	−44.94***	−58.65***	−55.84***	−11.05	−17.92*
Municipal debt per inhabitant	0.01	0.02	0.03	0.03	−0.04	−0.04	0.17***	0.17***	0.02	0.01
Fragmentation council II	−0.04	-	0.10**	-	0.03	-	−0.07	-	0.07	-
Council_VVD	2.02***	-	2.12***	-	0.51	-	1.50**	-	0.01	-
Council_CDA	−1.74***	-	−0.78	-	2.35***	-	0.88	-	−0.41	-
Council_CU/SGP	−0.14	-	0.05	-	−1.09*	-	1.64***	-	−0.82*	-
Council_D66	0.33	-	−2.76***	-	−3.46***	-	0.29	-	−4.28***	-
Council_PvdA	−0.09	-	−0.03	-	−1.00	-	0.76	-	−1.39***	-
Council_GL	−1.50*	-	−2.32**	-	−2.26*	-	−0.81	-	−0.06	-
Council_SP	−0.99	-	3.51***	-	−0.28	-	0.18	-	1.91**	-
Fragmentation board II	-	−0.23***	-	−0.06	-	0.13*	-	−0.06	-	−0.01
Aldermen_VVD	-	0.07	-	0.04	-	−0.53	-	0.92***	-	−1.45***
Aldermen_CDA	-	−0.21	-	−0.58**	-	0.40	-	0.66**	-	−0.56**
Aldermen_CU/SGP	-	0.27	-	−0.58*	-	−0.85**	-	1.49***	-	−0.92***
Aldermen_D66	-	1.42***	-	0.10	-	−1.31*	-	0.00	-	−0.04
Aldermen_PvdA	-	−0.21	-	−0.02	-	−0.79**	-	1.00***	-	−0.49*
Aldermen_GL	-	−0.36	-	−0.52	-	−1.73**	-	−1.05	-	−0.95*
Aldermen_SP	-	0.83	-	1.30*	-	−0.66	-	0.86	-	1.12*
Year trend	−0.05***	−0.06***	−0.05***	−0.04**	0.10***	0.09***	−0.09***	−0.10***	−0.01	−0.01
Constant	2.41*	2.74**	−11.76***	−10.52***	−1.26	−0.99	0.49	−0.29	−9.53***	−8.65***

Table A2. Estimation results for absolute number of parties as fragmentation index.

	Corporatisation		Privatisation		Cooperatisation		Reverse in-housesation		Reverse privatisation
	Council	Board	Council	Board	Council	Board	Council	Board	Council	Board
Inhabitants	−0.06**	−0.05**	0.03	0.05**	−0.10**	−0.07*	0.02	0.11**	−0.02	0.01
Inhabitants^2	0.00**	0.00**	0.00	0.00	0.00	0.00	0.00	0.00**	0.00*	0.00
Household size	−0.67*	−0.85**	2.48***	2.50***	−0.31	−0.26	−0.57	−0.53	2.11***	2.02***
Population density	0.15**	0.14**	−0.08	−0.08	0.16*	0.12	0.11	0.09	−0.14	−0.15*
Elderly people	3.49*	3.99**	4.00*	3.28	−9.52***	−9.75***	3.10	3.29	6.35***	5.70***
Ethnicity	−3.29*	−1.75	−2.08	−0.44	2.83	2.06	−3.93*	−2.63	−1.80	−1.35
Income per inhabitant	−0.11***	−0.07**	0.18***	0.17***	0.03	0.01	−0.04	−0.04	0.12***	0.11***
Unemployment	−53.45***	−56.72***	−12.50	−18.96*	−42.11***	−45.52***	−56.45***	−55.57***	−11.65	−17.78*
Municipal debt per inhabitant	0.02	0.02	0.04	0.03	−0.03	−0.04	0.18***	0.17***	0.02	0.01
Fragmentation council III	−0.01	-	0.06*	-	0.13***	-	0.13***	-	0.04	-
Council_VVD	2.08***	-	2.11***	-	0.86	-	2.13***	-	0.04	-
Council_CDA	−1.60***	-	−0.96*	-	2.87***	-	1.85***	-	−0.51	-
Council_CU/SGP	−0.20	-	0.12	-	−1.18*	-	1.47***	-	−0.79*	-
Council_D66	0.19	-	−2.58**	-	−3.91***	-	−0.54	-	−4.21***	-
Council_PvdA	−0.01	-	−0.13	-	−0.81	-	1.27**	-	−1.42***	-
Council_GL	−1.61*	-	−2.21**	-	−2.71**	-	−1.33	-	−0.01	-
Council_SP	−1.05	-	3.56***	-	−0.42	-	0.05	-	1.95**	-
Fragmentation board III	-	−0.25***	-	−0.04	-	0.12	-	−0.09	-	−0.04
Aldermen_VVD	-	0.07	-	0.05	-	−0.53	-	0.91***	-	−1.44***
Aldermen_CDA	-	−0.19	-	−0.56**	-	0.37	-	0.65**	-	−0.56**
Aldermen_CU/SGP	-	0.31	-	−0.60*	-	−0.87**	-	1.53***	-	−0.88***
Aldermen_D66	-	1.46***	-	0.08	-	−1.30*	-	0.05	-	0.00
Aldermen_PvdA	-	−0.20	-	−0.01	-	−0.80**	-	0.98***	-	−0.49*
Aldermen_GL	-	−0.28	-	−0.54	-	−1.75**	-	−0.99	-	−0.89
Aldermen_SP	-	0.84	-	1.31*	-	−0.67	-	0.84	-	1.12*
Year trend	−0.05***	−0.06***	−0.05***	−0.04**	0.10***	0.09***	−0.09***	−0.10***	−0.01	−0.01
Constant	2.16*	2.73**	−11.38***	−10.58***	−2.27	−0.96	−1.38	−0.23	−9.39***	−8.57***