The European Commission (Commission) has decided to take Germany before the European Court of Justice over the decision by the city of Hamm to directly award a waste water disposal services contract in 2003. The contract was awarded to a public-private company, Lippeverband, and therefore the contract did not benefit from the “in-house” exception and, in the Commission’s view, should have gone out to a competitive tender. At the heart of the dispute are concerns that the lack of competition may have resulted in higher waste water fees for local inhabitants. In voicing this concern, the Commission notes that in 2008, Lippeverband made a profit margin of over €1m but there was no reduction in fees in the following year. The matter now rests with the Court to determine.