Tallinn TV Tower may have to repay a million euros in EU aid18.04.2012, 10:14
Choice of wrong type of public procurement tender may prove costly for the Tallinn TV Tower that was re-opened for public two weeks ago and now may have to repay a million euros in EU aid, writes Äripäev.
The finance ministry that audited the use of EU aid in the structure’s renovation works has namely found that the foundation that managed the project has used an inaccurate type of public procurement.
The ministry finds that the company should have held a regular public tender for construction works and not a so-called non-public procurement tender with negotiations. Such form of tender is allowed to be used only in special cases.
According to the finance ministry, the company justified the use of such a tender with the need to complete renovation works by the end of 2011 when Tallinn was the European Capital of Culture.
The foundation has explained that it was forced to use the special tender because the first, regular, tender failed when KMG Ehitus pulled out of the contract in 2010.
This caused a major delay in the original timetable and the company decided to change the terms for the new tender.