4.1 Article

Re-interpreting re-municipalization: finding equilibrium

Journal

JOURNAL OF ECONOMIC POLICY REFORM
Volume 24, Issue 3, Pages 305-318

Publisher

ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/17487870.2019.1701455

Keywords

Remunicipalization; corporatization; municipally owned corporations; systematic review

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The remunicipalization literature suggests that the rejection of privatization in favor of in-house service delivery does not necessarily mean a rejection of business-like service delivery. Often, remunicipalization involves corporatization and cost savings rather than solely political ideology. Therefore, a more nuanced debate on remunicipalization is called for in the literature.
The remunicipalization literature posits that municipalities increasingly reject privatization in favor of in-house service delivery. A frequent interpretation is that remunicipalization therefore demonstrates a rejection of business-like service delivery in local public service delivery. We perform a systematic review of the literature on remunicipalization, to argue why this interpretation may be inaccurate. First, remunicipalization often involves corporatization, and these public corporations are very business-like. Second, cost savings are often at the root of remunicipalization rather than political ideology. We call for a more nuanced debate on remunicipalization in the literature.

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