Vilniaus Energija addresses court over Vilnius Municipality's debt

Wednesday, 19 August 2015

On Tuesday, 18 August, energy company Vilniaus Energija addressed Vilnius County Court due to a EUR 27 million debt of Vilnius City Municipality for hot water and heat.

Linas Samuolis, President of Vilniaus Energija, says the company expended every effort to achieve a peaceful resolution with the Municipality. In spite of this, the Municipality's Administration has refused to clear mutual debts or seek for another solution without involving the court.

"We have proposed numerous times to solve the issue of mutual debts without the help of the court," Samuolis said in a statement.

Municipal water supply company Vilniaus Vandenys was the first to bring proceedings as Vilnius Energija owes it EUR 15 million. However, the Municipality's debt to Vilniaus Energija is almost twice as high - EUR 27 million. Vilniaus Energija had proposed to use the money it receives from the Municipality for heat and hot water to settle the debt with Vilniaus Vandenys.

According to Vilniaus Eenergija, such method had been successfully used for the last 6 years and there were no legal or technical obstacles preventing from applying it in the future.

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