Sale of Nuon and Essent fattens provincial coffers

11/05/2010 15:00

Together, the financial capital of the twelve Dutch provinces amounted to nearly 4 billion euro in 2008. The sale of energy companies Nuon and Essent in the third quarter of 2009 pushed this amount up to 17 billion euro. Municipalities on the other hand have negative financial capital, even after the sale of Nuon and Essent.

Financial capital of provinces, 2008 and 2009

Financial capital of provinces, 2008 and 2009

Provinces receive 13 billion euro

The sale of Nuon and Essent brought in more than 13 billion euro for the provinces andd 5.7 billion euro for municipalities. With 30 percent, North Brabant held most shares in Essent while Gelderland had most Nuon shares: more than 44 percent. Three provinces and more than half of municipalities held no shares in either Nuon or Essent.

Municipalities still in net debt

In spite of the revenues from the sale of Nuon and Essent, the net debt of municipalities did not decrease in 2009. Municipalities are feeling the effects of the economic crisis in their pockets. They are spending more on investment and social benefits, for example, and are receiving less income from sales of land.

Financial capital of municipalities, 2008 and 2009

Financial capital of municipalities, 2008 and 2009

Arlen Hoebergen