Cooperative Development in Europe Athens, 6 th March 2015 Klaus Niederländer – Director 1

What is a Cooperative & Role of Cooperatives Europe Business Environment for Cooperatives in Europe Key Challenges & Opportunities The cooperative landscape in Europe

What is a Cooperative & Role of Cooperatives Europe Business Environment for Cooperatives in Europe Key Challenges & Opportunities The cooperative landscape in Europe

“ An autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly- owned and democratically-controlled enterprise” Cooperative Alliance (ICA) Cooperative enterprises build a better world What is a Cooperative?

History of Cooperatives In XIX century, cooperatives emerged within the working class Cooperatives were created as a tool to fight monopolies Cooperatives were part of a broader social movement with political aims of transforming society Worldwide, some 800 million people are members of cooperatives, and it is estimated that cooperatives employ 100 million people.

Cooperative Characteristics Seven cooperative principles: 1.Voluntary and open membership 2.Democratic member control 3.Member economic participation 4.Autonomy and independence 5.Education, training and formation 6.Cooperation among cooperatives 7.Concern for community

7 Self-Help via Joint Ownership Self-Control via Democratic Governance Autonomy through Self-Regulation Empowerment of Citizens The Cooperative Way of Doing Business Cooperatives-Putting People First

Types of Cooperatives Producer CooperativesWorker Cooperatives Consumer CooperativesCredit Unions

Types of Cooperatives Retail or Purchasing Coops Social Cooperatives

Cooperatives Vs. Corporations Different model of ownership

11 Since 2006 – the European cross-sector representative organisation for cooperative enterprises – recognized by the EU Institutions Role of Cooperatives Europe

12 The European Region of the International Cooperative Alliance 7 European Cooperative Sector Organisations : Agriculture: Cogeca Banking: EACB Consumer & Retail: Euro Coop Housing: Cecodhas Industry & Services: Cecop Pharmacy: EUSP Renewables: RESCoop 70 Members from 33 European Countries National Apex Organisations National Sector Organisations Cooperative Enterprises The Voice of Cooperatives in Europe

13 Representing and defending the interests of our cooperative members in Europe Promoting the cooperative enterprise model in Europe Fostering the exchange and the collaboration between cooperative members in Europe Cooperatives Europe - What We Do

Provide information, knowledge and network opportunities to our members via Advocacy – for the plurality of business models Communication – raise awareness about cooperatives Programming – promote cooperation 14 Cooperatives Europe - Objectives

Promotion of the cooperative business model Cooperative manifesto – Roadmap – #coopsupporter Youth & Innovation Renewable Energy European and International development 15 Cooperatives Europe - Activities

Cooperative Roadmap Education & Entrepreneurship Business support services Financing of Cooperatives

What is Cooperative & Role of Cooperatives Europe Business Environment For Cooperatives in Europe Key Challenges & Opportunities The cooperative landscape in Europe

 160,000 co-operatives with for example: agricultural cooperatives 4,000 cooperative banks with 65,000 outlets industry & service cooperatives Representing between 2-10% of national GDP in most European countries  5,4 million direct jobs  More than 100 million members 18 C OOPERATIVES IN E UROPE Facts & Figures

C OOPERATIVES IN E UROPE Members per Inhabitants

C OOPERATIVES IN E UROPE Agriculture © source: General Confederation of Agricultural Cooperatives in the European Union

Banking © source: European Association of Co-operative Banks C OOPERATIVES IN E UROPE

Pharmacies © source: EuroSocialPharma - UEPS C OOPERATIVES IN E UROPE

Consumer & Retail © source: the Co-operative C OOPERATIVES IN E UROPE

Industry & Services C OOPERATIVES IN E UROPE

Housing © source: CECODHAS C OOPERATIVES IN E UROPE

Renewable Energy © source: the Co-operative C OOPERATIVES IN E UROPE

What is Cooperative & Role of Cooperatives Europe Business Environment for Cooperatives in Europe Key Challenges & Opportunities The cooperative landscape in Europe

International Year of Cooperatives in Review of cooperative legislation in a number of European countries – UK, France, etc. -Highlighting cooperative specificities Importance of Modern Cooperative Law -Recognition of cooperative model & principles -Level-playing field with other business forms -General Law plus specific sectorial elements Existence of European Cooperative Statute -Possibility to use for inter-EU trade Review & Consolidation C OOPERATIVE L EGAL F RAMEWORK

Specificities in different European countries -Cooperative Development Fund in Italy with mandatory net profit contributions from all cooperatives -Independent cooperative auditing system in a number of countries (e.g. Germany, Poland) -Emergence of new cooperative sectors like health, education, energy (e.g UK, Belgium, Netherlands) Business Environment N ATIONAL C OOPERATIVE S PECIFICITIES

What is Cooperative & Role of Cooperatives Europe Business Environment for Cooperatives in Europe Key Challenges & Opportunities The cooperative landscape in Europe

Crisis affected all enterprises Cooperative resilience? -ILO study -Reports from EU sector organisations  Members are key assets of cooperatives C OOPERATIVE B USINESS M ODEL

We are stuck Opportunity for cooperatives? C OOPERATIVE B USINESS M ODEL

Advantages: -People-centred business model -Capacity to react and to anticipate -Sustainable and qualitative development via optimisation and not only short-term profit maximisation Link to the society Locally anchored C OOPERATIVE B USINESS M ODEL Long-term vision

34 Opportunities in Energy: Crowdfunded windmill

35 Rediscovering local value – Crowdsourcing local products

36 Direct Commerce: From the sea to the customer/member

37 Bees: the original cooperators!

38 Strengthening local communities through Community shops

Thank you Klaus Niederländer