At court for the Vlore TPP
07/11/2012 16:05
Special Court of Appeals returns for trial the case of abuses in the Fier Incinerator 19/12 16:02
The Albanian Power Corporation (KESH) and the Italian society that built
the Vlore thermo central will try to solve their dispute at the Court
of Arbitration.
Top Channel has secured the official document where the state’s lawyers are mobilized to defend KESH and the Albanian government in the trial that will be held in Paris.
The company hired to build the plant through a loan from the World Bank, is the Italian “Mare Engineering Technimont”. Differences between them and the Albanian authorities started in 2009.
According to the agreement, the Italian Company should have completed the work in May 2009, but before the plant started working, a serious breakdown was presented at the cooling system.
After this problem, KESH refused to accept the work and asked the World Bank to suspend the remaining payment of 10 million EUR.
KESH also asked the World Bank to execute the 5 million EUR guarantee of the project.
The World Bank initially supported KESH by accepting both requests of the Albanian part, making it the first case when an Albanian institution executes the guarantee to a foreign private company.
But the disagreements between the Albanian authorities and the Italian company deepened and peaked with the trial at the Court of Arbitration.
KESH demands 11 million EUR from the Italian Company, as a compensation for the delays and the violation of the agreement. The Italians have their own claims that reach several millions.
Top Channel
