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Wednesday 19.09.2018 | Name days: Verners, Muntis
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Repeated audit at Riga Freeport could be concluded by the end of the year

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULatvian State Audit plans to complete the audit regarding the large-scale Krievu Island investment project by the end of 2015, as confirmed by State Auditor Elita Krumina.

This revision was launched only recently. This is why it is too soon to draw any conclusions, said the State Auditor in an interview to Rīta panorama programme of LTV.

When asked if she remains certain that it is necessary to change Riga Freeport’s management model, Krumina replied that this matter remains on the agendas of SA, Transport Ministry and the government. In March 2015, SA had sent a letter to Transport Minister Anrijs Matiss, asking to provide information about measures intended to be implemented for the improvement of the port management model.

When asked about ongoing audits, Krumina reported that SA is currently wrapping up the inspection in municipalities in regard to the use of finances intended for sports and culture. The audit at Rīgas namu pārvaldnieks will soon be finished as well. A lot of complaints have been received in regard to this particular audit. It is also planned to complete the audit in regard to the use of finances provided by the European Union and longevity of realized projects. The e-health projects will also experience an audit this year.

«We have plans for multiple and very interesting audits this year,» – concluded Krumina.

As previously reported, in order to complete the Krievu Island project on schedule, Riga Freeport has to reach an agreement with stevedore companies RCT and Strek, which will have to relocate their cargo-handling services from the centre of Riga to Krievu Island by 2016.

In September, state representatives in the board of Riga Freeport had attempted to remove Leonid Loginov from his post in the port’s management. This initiative failed because representatives of Riga City Council voted against it. Later, Transport Minister Anrijs Matiss said law enforcement institutions should look into personal responsibility of members of the board of Riga Freeport, and that members of the board should «look for a new manager, not cover up the current one».

If the two sides involved in this project do not come to a consensus, EU funding will be pulled and the project will sink. «A contract has already been signed with builders, and work is already going on Krievu Island. As you can see, the majority of the planned objects have been constructed – docks and coastal infrastructure. Once work has been completed, someone will have to pay for all of it,» – admitted Matiss.

According to Andris Ameriks, if the European Commission finds even one of the contract’s points disagreeable, the contract will not come into force.

When asked if the port has considered providing financial assistance to the company in order for it to successfully relocated to Krievu Island, especially considering that such an undertaking requires significant investments, Ameriks replied by saying that there are many matters that apply to the environment and other areas in which the port would gladly provide assistance for development projects. Nevertheless, this would be provided under one condition – as long as these undertakings do not interfere with state support programme, so that there are no problems with the realization of the European project. Ameriks said that the entrepreneur had previously expressed interest and willingness to relocate to Krievu Island.

It should be added, however, that a small volume of cargoes (4%-5%) will remain in their current location. This applies to cargoes that do not have any bad effect on the quality of life and is allowed by Latvian legislation.

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