LKP «Zelene misto» reported that it had received €3.664 million under a bank guarantee from the Polish contractor that failed to fully perform the contract for the construction of a waste processing plant in Lviv. The company stresses that this is not a fine or punishment, but a contractual international mechanism for protecting the client.
Under the terms of the contract, if the contractor duly performs the works, it receives payment. If the obligations are not fulfilled, the bank pays the client the guaranteed amount specified in the agreement. It was precisely this instrument that LKP «Zelene misto» used in its dealings with Control Process S.A..
In addition to the funds under the bank guarantee, Lviv also had around €947,000 of an advance payment returned, as the contractor failed to carry out part of the contracted works for this amount. The company notes that the initial deadline for completion of the plant expired back in 2023.
The client repeatedly agreed to extend the deadlines, giving the contractor additional opportunities to complete the facility. At the same time, the city emphasises that any contract provides not only for rights, but also for the parties’ liability for failure to honour their commitments.
Lviv authorities assure that the waste processing plant will be completed, and all interested parties will be invited to its opening. City representatives also responded to statements by certain Polish politicians who are trying to portray a commercial dispute as a political issue.
It is stressed that Ukraine has been resisting Russian aggression for the fourth year, defending the security not only of its own state, but of the whole of Europe. Against this backdrop, Lviv calls for preserving the strategic partnership between Ukraine and Poland, avoiding manipulation and basing discussions on facts.
«We are neighbours. And we will remain neighbours. That is precisely why we should preserve mutual respect and speak the language of facts, not manipulation.»
The city expresses the hope that emotions and political expediency will not outweigh common sense, and that Ukrainian-Polish relations will continue to develop on the basis of mutual support and respect.