The principles, method of performance and financing of the communal economy, as well as other issues of the purposeful performance of communal activities are regulated by the Law on Communal Economy, while individual communal activities are regulated by special legal and by-laws that regulate the administrative area to which the specific activity belongs. The basic principle of the communal economy is the performance of communal activities as a public service. Local self-government units and legal and natural persons that perform communal activities are obliged to ensure permanent and high-quality performance of communal activities, maintenance of communal facilities, respect the principles of sustainable development and the public nature of work. Communal activities can be more closely defined as economic activities that do not fall under the laws of the free market, because their purpose cannot be realized solely by applying market laws. When performing communal activities, economy and efficiency are important, as well as the achievement of the public interest, embodied in public service. Communal activities can be performed directly (trading companies, public institutions, services and own plants) and indirectly (legal and natural persons based on a concession contract or on the basis of a contract on the entrustment of communal services).