In 2015, the Competition Council of the Republic of Lithuania issued a decision and stated that the extension of the lease agreements and other amendments violated competition laws and, thus, declared the respective extensions null and void. As a result, the lease agreements expired on 1 June 2016. However, UAB Litesko (the lessee) did not return the leased heat production infrastructure to UAB Alytaus šilumos tinklai. In July 2018, Litesko still factually controls the heat infrastructure.
TGS Baltic is assisting the Alytus City Municipality and UAB Alytaus šilumos tinklai with the takeover of the heat/electricity infrastructure and ensuring of the continuous supply of heat and hot water. The parties have to implement the decision of the Competition Council, whereby the newly built biofuel plant has to be put at the disposal of UAB Alytaus šilumos tinklai.
UAB Litesko refuses to transfer the heat production infrastructure to UAB Alytaus šilumos tinklai, thus, an action has been brought against the lessee. TGS Baltic represents the clients in the ongoing dispute against UAB Litesko. The case now is in the appellate court, as both the parties to the dispute were unsatisfied with the decision of the court of first instance and filed appeals. The clients seek to invalidate the amendments to the lease agreements, to have the heating facilities and heat and hot water supply activities transferred to UAB Alytaus šilumos tinklai and to receive compensation for damages incurred by the clients during the lease term due to unlawful actions of UAB Litesko.
The project stands out for its complexity. Involvement of various experts and state institutions is inevitable to ensure the successful transition of the infrastructure.
