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Public-private partnership for waste incinerators - Grand Corruption Cases Database

Public-private partnership for waste incinerators

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Introduction

The Albanian government awarded contracts to build three waste-to-energy incinerators through public-private partnership investment schemes in the municipalities of Elbasan (2014), Fier (2016) and Tirana (2017). The total value of the three incinerators amounts to approximately €178 million.

Country
Albania
Sector
Public procurement, Environment & land
Offence
Abuse of power, Active corruption of officials, Passive corruption of officials
Phase
Indictment filed

Case Overview

In all three cases, the companies awarded the contracts by the government were the sole bidders, and the winner for Elbasan submitted unsolicited proposals and attained a contract without a tender process. Key individuals in each company are closely linked to each other through business partnerships.

Furthermore, the opposition Democratic Party accused the government of clientelism, alleging that Arben Ahmetaj, who is a former minister for finance and economy and a high-profile member of the Socialist Party, is involved in the deals through Klodian Zoto. Zoto is a key entrepreneur pulling the strings of the companies that were declared winners of the bids for the three incinerators.

Particularly concerning are the waste management issues that have plagued Fier, which is the second largest city in Albania. The landfill used for waste deposits, which is located on the outskirts of the city, has exceeded its capacity. In response, the municipality of Fier declared an ecological emergency in 2015.