2020 Business plan Content Preface .................................................................................. 3 Business strategy ................................................................... 4 Framework for Aarhus Vand ................................................... 8 Cooperation with Aarhus Municipality ................................... 10 Annual wheel 2020 .............................................................. 12 The Board ............................................................................ 13 Purpose, vision and core story ............................................. 15 Strategic partnerships strengthen us ................................... 16 Integrating the UN’s global goals for sustainability ................ 20 Aarhus ReWater – a trailblazer in resource utilisation ............ 22 Implementing a digital transformation ................................... 24 New ways of working with water .......................................... 27 Creating a strong corporate culture together ........................ 28 Organisation ........................................................................ 30 Sharpened focus on financing .............................................. 32 Financial forecast for 2020 ................................................... 33 Investment and tariffs ........................................................... 34 Lars Schrøder, CEO Aarhus Vand 2 PREFACE Welcome to Aarhus Vand’s business plan Welcome to Aarhus Vand’s business plan. The 2020, we will therefore experiment with new ways global agenda for sustainable development. At the business plan describes in words and pictures the of collaboration at our existing premises as part of same time, we gain new knowledge to optimise company’s exciting development and expectations the preparations. The new domicile is expected to and develop processes and procedures to the for the year 2020. be placed in Viby – close to the southern motorway benefit of the entire company as well as our custo- exit, Aarhus Light Rail and other public transport. mers. Last but not least, it makes Aarhus Vand a We have established a sound and solid base for the We will also be close to the many water technology more attractive workplace when our activities take further development of Aarhus Vand. This is essen- companies around Aarhus whom we work closely on an international dimension. We would like to tial as the external settings, while being a driver for together with in the Danish Water Cluster. do our share towards ensuring innovation of the development, are constantly changing. Collabo- Danish water industry. ration with our key stakeholders – the customers, New challenges and demands create new business owners and authorities – is rewarding. In 2020, we areas, foster technological development and pro- In addition to a number of new initiatives in 2020, will work towards realising Aarhus Vand’s Strategy mote business activities. The Danish Government’s our business plan also describes Aarhus Vand’s 2025, which is a further development of our current ambition of reducing greenhouse gas emission by mission, vision and objectives under the setting laid strategy. This will improve our capability for shaping 70% in 2030, Water Vision 2025 and the municipa- out for our activities by our owner and Danish legis- tomorrow’s water company. lity’s plans for the climate and solutions for handling lation. It also describes how we organise work, and rainwater on citizens’ own property are all examples it sets out our values and our strategy for the years At Aarhus Vand, we put every effort into creating a of such activities. We are well on the way to meet- ahead. Furthermore, it considers the prerequisites productive and stimulating workplace. We adjust, ing these – and a host of other – challenges. We to fulfilling our vision such as having a competent adapt and develop the organisation to ensure that focus our efforts on how to handle the entire water staff, excellent partnerships and sound finances. we are well prepared for the future – and this is cycle. We develop market-orientated products and exciting and demanding in equal measure. The services to our customers. We establish new part- preparations for a new headquarters which will nerships and strengthen collaboration through the make a great workplace even greater is one of the Danish Water Cluster, Water Partner, Shared and Enjoy your reading. things that we will be focusing on in 2020. We have 3Vand – to mention but a few. been living in rented premises since 2016 when we Best regards sold our share of the domicile in Hasle. With our As one of the largest water companies in Denmark, workshops still located in Eskelund, our employees we feel obliged to support the water industry. We Lars Schrøder are placed at different locations which is not very have extensive knowledge of the operation of CEO, Aarhus Vand appropriate. Since we became an independent various facilities, establishment of organisations, limited company in 2010, we have therefore been analysis, tendering, planning, project management, pursuing the aim of gathering all employees under training and commissioning of facilities. By taking a the same roof. This will improve company cohesion global perspective, we can contribute knowledge and strengthen interdisciplinary cooperation. In and support for Danish exports and help set the 3 Business strategy Aarhus Vand’s business strategy towards 2025 is a – A sustainable role model for the urban world These strategic scenarios have helped us clarify the further development of our strategy 2020 which, over – A strong position within the fields of energy, climate possibilities available to Aarhus Vand in an unpredictable the past 10 years, has turned Aarhus Vand into one of and the environment world in constant, rapid development. The scenarios the leading companies in Denmark. The 2025 strategy – Utilisation of the growth potential of the UN’s global led to discussions of whether it would make sense to will improve our capability for shaping tomorrow’s water goals for clean water and sanitation, sustainable continue to consider the water supply in isolation in an company. energy and climate action. attempt to meet market demand; whether our custo- mers would continue to consume water the way they Aarhus Vand is a local water company with a national The establishment of the Danish Water Cluster, target- do today and whether water could be digitised. The and global vision. Our 2025 strategy is based on the city oriented efforts in achieving energy and CO2 neutrality answers to these and a long list of other questions offer of Aarhus and the potential of the city and the region. in 2030 and a well-established collaboration with local a number of possibilities for the development of Aarhus The inhabitants of Aarhus generally live longer than authorities in South Africa, India and Ghana on water Vand. Strategy 2025, which is the result of an overall the rest of the Danish population. The city is growing, solutions are all examples of how Aarhus Vand supports consideration of the possibilities offered by the individual and there is an expected growth of 1.4 percent a Aarhus Municipality’s objectives and its business plan. scenarios, is meant to prepare Aarhus Vand for various year towards 2034, at which time there will be about future scenarios by adapting its strategic focus to the 410,000 inhabitants. Aarhus – and the entire Business The global water sector will be facing huge challenges development of the market. Region Aarhus with its 1 million inhabitants – is further- – and opportunities – in coming years, and this is what more experiencing economic growth and an increase in strategy 2025 has been based on. A number of condi- The publication “Water for the future”, which can be the number of employees far in excess of the national tions – in particular climate change, which means a lack downloaded at our website, offers a description of our average. Last but not least, Aarhus Municipality has of water in some places and too much water in others work with the strategic scenarios as a basis for Strategy an ambitious climate action plan, where one of the – may turn the market upside down. At the same time, 2025. objectives is to become CO2 neutral by 2030. We have Aarhus Vand will be making some heavy investments in already succeeded in reducing per capita emission by coming years, in particular the establishment of a new Strategy 2025 40 percent since 2010. resource plant – Aarhus ReWater – which will replace Our ‘strategy house’- represents a framework for the Marselisborg Wastewater Treatment Plant. The project direction in which Aarhus Vand wants to be headed. In other words, Aarhus is a developing, dynamic city, is estimated at about DKK 2 billion. As it appears from the strategy house, the purpose of and Aarhus Vand’s strategy contributes to the further the company is to achieve a healthy planet and healthy development of the city. This applies in particular to the When developing the strategy, we investigated four people through the supply of clean water. Our vision is objectives below: long-term scenarios to help us navigate a complex mar- to create a national platform as a driver for local and – A growing city with a strong business life ket that may develop in various ways. These scenarios global solutions for a healthier water cycle. The four – A sustainable city with a good local and urban are: cross-disciplinary principles of the strategy are: environment – The