The Tbilisi Mayor’s Office has announced the suspension of contract with C.T. Park, regulating parking system in capital Tbilisi.
Tbilisi Mayor’s Office Suspends Contract with C.T. Park
By Tea Mariamidze
Wednesday, March 14
C.T. Park, which has had a right to manage parking system in the capital since 2007, slammed Tbilisi Mayor, Kakha Kaladze for the decision.
Kaladze announced about his decision on abolishing the contract at a special press conference on Tuesday. He explained that the company does not fulfill its obligations properly.
“I will not put up with an irresponsible approach and improper fulfillment of responsibilities from any company. This is why we are abolishing the contract with C.T. Park,” Kaladze announced.
He said the contract will be annulled on April 10.
“The goal of our new transport policy is to reduce the role of cars and increase a number of public transport and pedestrians. This means setting up a fair parking system and reducing traffic jams in the capital,” the mayor added.
Company C.T. Park says the decision of Kaladze was unexpected for them. They believe this step represents the “dishonest and unprofessional attitude” from the City Hall as one of the contracting parties.
Levan Tabidze, Head of C. T. Park public relations manager told reporters that the company is going to protect its rights both in Georgia and in international arbitration.
Tabidze said they will ask for the compensation from the City Hall.
Former Mayor Davit Narmania was also on record of having been unsatisfied with the work of City Park. He often used to say the agreement is unprofitable for the city, but stressed that the contract cannot be cancelled because a termination agreement will cost the mayor’s office 25 million GEL.
At present neither Kaladze, nor C.T. Park has specified the exact sum of the compensation the City Hall might have to pay for terminating the contract.
Deputy Tbilisi Mayor, Irakli Khmaladze said the Mayor’s Office will not have to pay any compensation as it has grounded arguments that the company was not properly fulfilling its obligations.
“If we abolished the agreement without any reason, we would pay the compensation. The company has violated the obligations undertaken by the agreement, so we have decided to terminate the contract,” Khmaladze explained.
Ex-mayor of Tbilisi, Gigi Ugulava, who made the disputable agreement with C.T. Park in 2007, says the abolition of the deal so fast may result in worse situation after April 10.
He explains that after the deal is over, Tbilisi Transport Company will be responsible for parking management, adding the company is not ready to take such duties.
“I have a feeling that Tbilisi Transport administration is not prepared to deal with such a responsibility, which might cause chaos after April 10,” said Ugulava.
The contract between City Park and Tbilisi Mayor’s Office was signed in 2007 and according to it, the company was to manage parking services in Tbilisi until 2022.