Yerevan municipality terminated contract with waste management operator ‘on time’

16:42 • 04.10.19
Event

The Yerevan City Hall terminated its contract with Sanitek on time after the former waste management operator’s failure to fulfill its obligations under the pretext of poor infrastructure management, a press secretary said on Friday.

According to Hakob Karapetyan, the city authorities find that the company unilaterally sidestepped its commitments back in August by refusing to ensure the proper cleaning of the capital.

Asked why they did not scrap the deal then, the spokesperson cited the need of conducing proper assessments.

″The municipality made a decision to check the implementation of all the contractual clauses with Sanitek to make sure that the contest procedures authorizing the company to organize waste management were legal. The employees of the City Hall started a monitoring in July, completing and summing up their studies only in late September. And the outcomes of those studies eventually served as grounds for the municipality to make such a decision,″ he told Tert.am.

Concerns over the poor waste disposal of the city were voiced by Mayor Hayk Marutyan back in spring. In a speech at a cabinet meeting on April 18, he stressed the urgent need for terminating the contract with Sanitek to enable them to announce a new contest to attract a new waste management operator. Meantime he admitted that in case of a failure to observe the necessary procedures the company might initiate a lawsuit to demand its profit for the 10 years to come.  In a statement on Monday, the mayor said that they are unilaterally terminating the contract.

Asked about the company’s plans to seek an arbitration settlement, Hakobyan refrained from any comments, saying only that the muncipality’s decision “stemmed from a pressing concern” and was “fully in line with legislative regulations”.

 

 

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