The Valuation of Assets as a Non-Monetary Contribution to a Water Management Company

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26110%2F26%3A0199922" target="_blank" >RIV/00216305:26110/26:0199922 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.mdpi.com/2071-1050/17/24/11171" target="_blank" >https://www.mdpi.com/2071-1050/17/24/11171</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.3390/su172411171" target="_blank" >10.3390/su172411171</a>

Jazyk výsledku

angličtina

Název v původním jazyce

The Valuation of Assets as a Non-Monetary Contribution to a Water Management Company

Popis výsledku v původním jazyce

A large number of state-owned companies were privatized in the Czech Republic after the end of the communist regime, mostly through their transformation into joint-stock companies. The water management sector was no exception from this process. The ownership of infrastructure networks was transferred to individual municipalities, which are legally obliged to provide their inhabitants with water supply and sewerage disposal. Subsequently, the municipalities joined together in joint-stock companies to enhance their capacity to provide sufficient financial resources for the rehabilitation and development of water infrastructure and also to enable the implementation of sustainable water management strategies, which are key to environmental protection. Assets contributed to joint-stock companies in the form of non-monetary contributions serve as a basis for a proportionate allocation of shares, representing the shareholder’s share of participation in the company’s management. An analysis of the asset performance within these companies indicates the necessity of developing an optimized methodology for determining the number of shares allocated for such non-monetary contributions. This need arises from significant disparities in both profitability and cost-efficiency among municipalities, depending on factors such as population size (revenues) and the length and technical characteristics of the infrastructure networks (costs) contributed to the joint-stock companies. The authors of the article present the research project results, aimed at developing a methodological procedure for determining the price (value) of municipal infrastructure assets contributed as non-monetary capital to a joint-stock company that owns and operates water management networks, from which the secondary objective of determining the fair value of a municipality’s water management infrastructure assets based on the developed methodology is derived. The proposed methodological procedure is primarily based on establishing the ratio between the fixed and variable costs of the municipality.

Název v anglickém jazyce

The Valuation of Assets as a Non-Monetary Contribution to a Water Management Company

Popis výsledku anglicky

A large number of state-owned companies were privatized in the Czech Republic after the end of the communist regime, mostly through their transformation into joint-stock companies. The water management sector was no exception from this process. The ownership of infrastructure networks was transferred to individual municipalities, which are legally obliged to provide their inhabitants with water supply and sewerage disposal. Subsequently, the municipalities joined together in joint-stock companies to enhance their capacity to provide sufficient financial resources for the rehabilitation and development of water infrastructure and also to enable the implementation of sustainable water management strategies, which are key to environmental protection. Assets contributed to joint-stock companies in the form of non-monetary contributions serve as a basis for a proportionate allocation of shares, representing the shareholder’s share of participation in the company’s management. An analysis of the asset performance within these companies indicates the necessity of developing an optimized methodology for determining the number of shares allocated for such non-monetary contributions. This need arises from significant disparities in both profitability and cost-efficiency among municipalities, depending on factors such as population size (revenues) and the length and technical characteristics of the infrastructure networks (costs) contributed to the joint-stock companies. The authors of the article present the research project results, aimed at developing a methodological procedure for determining the price (value) of municipal infrastructure assets contributed as non-monetary capital to a joint-stock company that owns and operates water management networks, from which the secondary objective of determining the fair value of a municipality’s water management infrastructure assets based on the developed methodology is derived. The proposed methodological procedure is primarily based on establishing the ratio between the fixed and variable costs of the municipality.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

20102 - Construction engineering, Municipal and structural engineering

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2025

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Sustainability

ISSN

—

e-ISSN

2071-1050

Svazek periodika

2025

Číslo periodika v rámci svazku

17(24)

Stát vydavatele periodika

CH - Švýcarská konfederace

Počet stran výsledku

20

Strana od-do

1-20

Kód UT WoS článku

001647371900001

EID výsledku v databázi Scopus

2-s2.0-105025937965