Lviv terminates contract with Polish company for construction of waste processing plant
Kyiv • UNN
LKP Zelene Misto terminates agreement with Control Process S.A. due to systemic violations and delays. The decision will come into force on April 6, 2026.
Today, March 23, the Lviv communal enterprise "Zelene Misto" sent a notice to the contractor Control Process S.A. regarding the termination of the contract for the construction of a mechanical-biological solid waste processing complex in Lviv. The decision was made after the contractor's prolonged failure to fulfill its contractual obligations. This was reported by the Lviv City Council, writes UNN.
Due to the systematic non-fulfillment of its obligations by Control Process S.A., as well as due to the non-fulfillment of FIDIC-engineer's instructions and the lack of response to these remarks, we decided to terminate the agreement with this contractor.
The communal enterprise "Zelene Misto" emphasizes that the grounds for such a step are weighty and documented.
Throughout 2025, the contractor repeatedly received official notifications from the engineer about violations of the contract terms and demands to eliminate them.
The contractor, in particular:
- did not complete the development of project documentation and refused to transfer it to the customer - LKP "Zelene Misto";
- did not deliver part of the equipment financed by the Eastern European Energy Efficiency and Environment Partnership (E5P) Fund;
- refused to perform certain works stipulated by the contract;
refused to allow another contractor to the site, who was supposed to perform works on connecting external power supply to the facility.
It is noted that despite the additional time given to rectify the situation, Control Process S.A. did not eliminate any of these violations.
The contractor also tried to prevent the receipt of a bank guarantee, which was demanded by LKP "Zelene Misto". This became an additional reason for terminating the contract.
According to the terms of the agreement, the termination of the contract will come into force 14 days after the notice is sent — that is, on April 6, 2026.
LKP "Zelene Misto" emphasizes that it gave the contractor enough time to rectify the situation. And now they are acting in accordance with the prescribed procedures. Further steps regarding the completion of the plant's construction and its launch will be announced additionally.
Control Process also has similar problems with the construction of facilities for which it is responsible in Poland. The contract with this company was terminated due to delays and errors in design in the city of Starachowice (Poland). Also, the contract was terminated due to unsatisfactory progress of work in the city of Łowicz, and the contract was terminated due to systematic non-fulfillment of schedules in the city of Jarocin. So this is not a unique situation in Lviv, say city officials.