Port of Durrës/ DP Group, request to the Assembly for the establishment of the Investigative Commission

2024-12-17 14:40:00, Aktualitet CNA

Port of Durrës/ DP Group, request to the Assembly for the establishment of

The DP Parliamentary Group addressed the Assembly with a request for the establishment of the Assembly's Investigative Committee for the Control of Legality in the Approval Procedures of the "Durres Marina & Yachts" project, the sale of the port management concession to Schapha d.o.o. and Port Construction new to Porto Romano.

Complete request

I. PROJECT 'MARINA & YACHTS OF DUR?Š'

On 08.11.2022, the Council of Ministers submitted to the Parliament of Albania the draft law 'On the Approval of the Framework Agreement, between the Council of Ministers of the Republic of Albania and Eagle Hills Real Estate Development, Albanian Seaports Development Company sh.a. and NSHMI Development LLC, regarding the strategic investment project "Durres Marina & Yachts". Two days later, on 10.11.2022, the Assembly, with 62 votes in favor, decided to approve the decision for the accelerated examination of this draft law, according to Article 83, point 2 of the Constitution. After it was reviewed on November 15, 16 and 21 in the parliamentary committees, with Law no. 79, dated 24.11.2022, the Assembly of Albania, with a majority of votes, approved the draft law, without any changes from the initial draft. So, in just 16 days from the date of filing, the review, voting and approval in parliamentary committees and plenary session of the project 'Marina & Yachts of Durrës' took place.

The law contained 6 provisions. In addition to the approval of the above-mentioned agreement, the law determined the exemption of the company in charge of the realization of the project from the obligation to pay the infrastructure impact tax for new constructions and the contribution of social housing. The total value of this obligation is calculated as the Albanian state's contribution to construction. Whereas, the granting of permits, licenses and other administrative acts necessary for the realization of the project would be done within a 5-month period. The law provided that the state immovable properties, transferred to the Real Estate Fund for the Support of Strategic Investments, for the development and realization of the project, will be owned by the company 'Albanian Seaports Development Company' sh.a., a company commercial company, with state capital, founded on 29.07.2022, with the sole shareholder the Port Authority of Durrës and administrator the former advisor to Minister Balluku, Mr. Erlis Hereni (data according to commercial extract).

Further, other agreements were defined, which will be signed alongside the Framework Agreement, namely the development agreement, the contract for the transfer of ownership title, and the agreement with the Ministry of Infrastructure and Energy 'For the Durres Navy'. The law determined the creation of a joint company, the way of organization and operation of which is determined by appendix 8, attached to the Framework Agreement. The Council of Ministers was tasked with issuing the decision for the transfer of ownership of real estate in favor of the state company created for the purpose of realizing the project, but without specifying the term of this act. Finally, the Law determined its entry into force within a period of 15 days after approval in the Official Gazette. Legally accompanied by the Framework Agreement and 14 appendices that define the full details of the realization of this project.

In the accompanying relation of the Law, it is stated that through the decision of the Committee of Strategic Investments no. 4/6, dated 02.12.2021, the form of cooperation of the Albanian state in this investment was approved through the participation of the state in a joint commercial company with the private investor. It is this commercial company created by the state and the private partner that will develop the project and benefit from it. Further, the report explains that the project will be developed on a land area of ??818,318 m2, with an investment value of 2,081,347,054 Euros, divided into two phases, namely phase 1: 595,256,904 Euros and phase 2: 1,486,090,150 Euros. . In accordance with these stages of development, the gradual transfer of commercial activities to the new integrated port of Durrës to Porto Romano will also take place. The report explains funding sources, including: direct funding from Eagle Hills; debt financing contributed by, or on behalf of, Eagle Hills; sales revenue collected from customers by the strategic investor, borrowing from financial institutions and investments from third party investors. The report does not contain other explanations, regarding the detailing of each of these items, according to the total value of the investment.

In the relation, it is stated that Eagle Hills has the obligation to submit to the Albanian government the certified bank statement, where it is evident that the shareholders or direct or indirect partners of this company, hold in their accounts an amount corresponding to 30% of the value of the necessary financing of the first phase and then 30% of the financing value of the second phase. Accordingly, in the first phase the company must prove the existence of funds in the amount of 178,658,071 Euros and in the second phase it must prove the existence of funds in the amount of 445,827,045 Euros. Among other rights, Eagle Hills will have the right to manage the private and public common areas, and to set fees for management services. These rights can be extended up to a 35-year term, with the only obligation that in a construction plot, the common areas remain owned by the company with state capital. The relation explains the rights that the state shareholder, represented by the company 'Albanian Seaports Development Company' sh.a., will have in the joint company. (hereinafter 'ASDC'), where we can mention the right of veto in the Shareholders' Assembly, the right to appoint management bodies, auditors, as well as to receive information regarding the progress of the investment, special rights in the distribution of dividend, realized profit, as well as any other benefit in favor of the Albanian state.

In the following, the report contains a summary explanation of the main agreements to be signed, namely the development agreement, the contract for the transfer of the ownership title and the agreement for the 'Durra Marina'. The development agreement defines the conditions, rights and obligations, guarantees and promises of the parties, in order to develop the property and build the Building Complex by the Developer, according to the highest standards, and transfer the title of ownership in favor of the Developer. The contract for the transfer of the ownership title determines the transfer of assets from the state owner in favor of the developer, in exchange for the successful completion and completion of the construction complex, as well as the nominal price, defined in the contract. As for the agreement for the "Durrës Navy", it has been determined that the strategic investor will pay MIE an annual fee equal to 2% of the annual turnover that the strategic investor will collect from the Navy, but not more than 200,000 euros per year. In the report it is stated that the land, which will be placed as capital in kind, has been evaluated objectively, without reducing its real value and trying to maximize its valuation. However, the relation does not contain any data regarding the value of the land, according to the assessments carried out.

From the analysis of the law, the accompanying report and 14 appendices, the following concerns and issues arise:

First, the Law defines the exemption of the company that will implement the project from the infrastructure impact tax for new constructions and social contribution. The agreement states that this will be the Albanian state's contribution to the investment. So, in addition to the areas of land and construction that will be made available to this project, the government also foresees the exemption from two important financial obligations. Specifically, according to Article 27 of Law no. 9632, dated 30.10.2006 'On the local tax system', the infrastructure impact tax for such a project is 3% of the investment value. The value of the investment is expected to be around 2 billion euros, which means that the infrastructure impact tax would be 60 million euros. In addition, Article 19 of Law no. 22/2018 'On social housing', stipulates that for each project with over 2 thousand m2 construction area, 3% of the construction area will go as a contribution to the social housing fund. Calculating that the total construction area will be 1,359,734 m2, then the housing contribution should have been 40,792 m2. So, the Albanian state grants the strategic investor 818,318 m2 of land area, of which 61,450 m2 of construction area, 60 million euros exemption from the infrastructure impact tax and 40,792 m2 contribution to social housing or translated into a monetary value of 40,792 m2 x 1500 euros/ m2 (price of apartments according to the master plan) = 59,032,935 Euros.

Now let's take a look at the value of the price of land and construction, referring only to reference prices. According to decision no. 89, dated 03.02.2016, 'For the approval of the land value map in the Republic of Albania', the reference price for the area of ??the port of Durrës is ALL 19,336/m2. If we calculate 818,318 m2 x 19,336 ALL = 15,822,996,848 ALL or 137.6 million Euros. Whereas, regarding the construction area, we will refer to the decision no. 168, dated 27.03.2019 of the Council of Ministers, 'On some changes in decision no. 132, dated 07.03.2018, of the Council of Ministers 'On the methodology for determining the taxable value of real estate 'building', the tax base for specific categories, the nature and priority of information and data for determining the tax base , as well as the criteria and rules for the alternative assessment of tax liability'. According to this decision, the reference price per square meter of housing in Durrës Municipality is 67,500 ALL. However, we must multiply this value by 1.5 because the surfaces we will evaluate are construction surfaces, which are currently not used for housing, but for administrative-commercial activities 67,500 x 1.5 = 101,250 Lek. By multiplying the total construction area that will be owned by the investor, we have 61,450 m2 x 101,250 ALL = 6,221,812,500 ALL or 54.1 million Euros. We would like to point out that the market prices are many times higher, but in this case, we are only taking the reference prices, to avoid any kind of subjective discussion. According to real estate experts, the land price in that area is 500 euros/m2, which means that the land area alone is worth 406.3 million euros. While, according to experts, the value of the construction area is 1000 euros/m2 in that area, which means that the construction area alone has a value of 61.45 million Euros.

Secondly, above we analyzed the full value of the benefits that the private investor will have from the Albanian state, which are detailed as follows:

(I) Land with an area of ??818.318 m2 Reference price 137.6 million EUR

(II) Building with an area of ??61,450 m2, reference price 54.1 million EUR

(III) Infrastructure impact tax Excluded 160 mln EUR

(IV) Contribution to social housing Excluded EUR 59 mln

(V) Annual profit of APD 39 mln EUR

TOTAL 449.1 mln EURO

(I) Land with an area of ??818,318 m2, market price EUR 409 million

(II) Building with an area of ??61.450 m2, market price 61.45 mln EUR

(III) Infrastructure impact tax Excluded 160 mln EUR

(IV) Contribution to social housing Excluded EUR 59 mln

(V) Annual net profit of APD EUR 39 mln

TOTAL 728.45 mln EURO

So, the value of the property offered by the Albanian state varies between 449.1 million Euro (reference price) and 728.45 million Euro (market price), while it is expected to benefit the Albanian state is the dividend in the amount of 33% of the net profit of the company ( equal to the number of shares that the Albanian company with state capital will have in the joint stock company "Durrës Marina" sh.a.). According to the master plan, the total revenue of the project is estimated to be 3.2 billion Euros, with a net profit of around 850 million Euros. From the distribution of the dividend, taking for granted that this amount is calculated after paying the 8% dividend tax and 15% profit tax, in total 23%, then the profit that will be generated by the Albanian state is estimated to be 280 million Euros. So, we are clearly dealing with a big difference in relation to the value of the property offered by the Albanian state, both in the case of calculation with reference price, and in the case of calculation with market price. In the first case, the difference is 169.1 million Euros (reference price), while in the second case the difference is 448.45 million Euros (market price). Meanwhile, according to real estate experts, owners who make land available to builders receive 30% of the construction area, which means that the Albanian state should have benefited from 407,920 m2 of construction area, or calculated with the price of the apartments ( other units have higher prices) 407,920 m2 x 1500 euros = 612 million Euros or 332 mln Euro less. A citizen who hears these numbers can rightly ask, what is the benefit of the Albanian state, when it has given much more than it could earn?!

Thirdly, Decision No. 14/6 date 02.12.2021 'For the approval of the status 'Investment/strategic investor special procedure' for the Investment Project 'Durres Yachts & Marina' with applicant entity 'Simphony Real Estate Development shpk with NUIS/ NIPT M11726006H and sole partner Simphony Invest Limited, with registration number 355663 and financial guarantor NSHMI Development LLC with registration number 1155255 License 727523, Dubai, EBA', foresees other costs for the state, which are not analyzed in the Realization of the Bill and there is no transparency regarding their financial bill, such as: (i) expropriations which must be carried out by the State Cadastre Agency based on Article 28 of Law No. 55/2015, amended and VKM No. 1032, dated 16.12.2015, (ii) provision of funding for the necessary legal, financial and technical expertise, local or foreign, by the Durrës Port Authority, (iii) provision of experts/law firms or entities with the necessary expertise for the strengthening of the positions of the Albanian state in this strategic investment by the State Attorney's Office as well as (iv) the determination of the inert waste disposal site by the Municipality Durrës in cooperation with MIE and related costs.

Fourth, the law constitutes another 'special law', a practice turned into routine by the Albanian government. So, by special law, some rights and privileges are given to a private economic operator, without any kind of competition. We remind here that the same practice has been used in several other projects, such as the special law for Arbri Street, the special law for the port of Karpen, the special law for Vlora Airport, the special law for the National Theatre, the special law for the cyber security contract with the company Jones Group, etc. In at least two cases, the European Commission has expressed against the approval of projects with a special law as it violated the principles of competition and non-discrimination, namely for the special law for the National Theater and the special law for Vlora Airport. Especially, in the case of the special law for the National Theatre, there was also a decision of the Constitutional Court, which with the decision no. 29, dated 02.07.2021 decided to repeal the special law on the Theater, as it constituted a violation of Article 11 of the Constitution, in terms of freedom of economic activity and competition. Likewise, the adoption of special laws to give economic operators certain rights and privileges in the implementation of projects is contrary to articles 71 and 74 of the Stabilization-Association Agreement, which sanction that any state aid that distorts or risks distorting competition, by favoring certain undertakings, is in violation of this Agreement, as well as expressly prohibiting discrimination in public contracts. So, this draft law clearly contradicts Article 11 of the Constitution and Articles 71 & 74 of the SAA. On the other hand, it is clear that in the present case, we are dealing with a public-private partnership relationship, which is specifically regulated by law no. 125/2013 'On concessions and public private partnership'. The reason for avoiding this law is understandable, the race and competition. Given the value of this project, not only is the competition mandatory, but the competition must be international. The approval of this draft law also contradicts the legislation in force, as we are clearly dealing with an attempt to approve a special law, avoiding all existing procedures that guarantee transparency, competition and competition.

Fifth, the proposal, discussion and approval of this project has all gone through a complete lack of transparency. Not only was there a total lack of transparency for the public, with the exception of edited videos of the prime minister, but also for the institutions. Thus, the opposition MPs, who have followed this matter more closely, have repeatedly requested to receive information, which has been consistently denied by the Albanian Investment Development Agency (AIDA), with the absurd justification that the private investor did not express his agreement that the documents should be made public. On the other hand, as also accepted in the relation of the draft law, this project was consulted only by the Ministry of Finance, the Ministry of Justice, the Ministry of the Interior, the Ministry of Infrastructure and Energy, the Ministry of Tourism and the Environment, the State Cadastre Agency, the Development Agency of the Territory, while there is no consultation with local government bodies, representatives of citizens, with civil society, with the media, with experts and citizens. So, a project, which radically changes not only the port area, but also the city of Durrës, will be approved without undergoing any kind of discussion and consultation process with the citizens. Meanwhile, it is a universally known fact that citizens, businesses in the area, civil society representatives and experts have strongly opposed the approval of this project, due to the social impact it will have, which we will talk about in more detail below. . On the other hand, the entire history of the investment company is shrouded in mystery and doubt. Why did a company, which was said to represent one of the biggest businessmen in the world, have to be registered in tax havens? Why was the initially introduced staff of the company Albanian and the foreign investor was nowhere to be seen? Shouldn't the Albanian government have made it a condition for the approval of this project that the owners, administrators and staff of this company were well identified? What is trying to hide through the registration of the company in the Cayman Islands, which the state recognized as a strategic investor? Why was the company that had benefited from strategic investor status changed? What is the reason that on the official website of the international company Emmar Properties, all current and future projects of this company appear, but the project of the port of Durrës is nowhere to be seen? The lack of answers to these questions has raised reasonable doubts about who the real owners, beneficiaries, and partners of this company are. Even the law in question came at the beginning without any accompanying documents, and only after the strong insistence of the Parliamentary Group of the Democratic Party, in the session dated 10.11.2022, the documents were brought on Friday, dated 11.11.2022, for a draft law that will to be considered in parliamentary committees starting from November 14.In continuation of the above questions, the next question arises, what is the rush or haste that the Albanian government had for the approval of this law with an accelerated procedure? Shouldn't the Assembly take all the necessary time to make transparency for the citizens and to demand accountability on their behalf for such an important project, with wide economic and social impact?!

Sixth, in the relation of the draft law, it is stated that gradually the transfer of commercial activities, operational, customs and security personnel will take place in Porto Romano. Until now, the port of Durrës has been not only the largest port in Albania, but the main point of international transport of goods and people. It is not stated in the relation and other documents, but neither has there been any explanation from the government so far, regarding how this transfer will be carried out, what impact it will have on the citizens and businesses that use the port of Durrës for the movements of them, whether for personal reasons or economic activities. And what is most important, does Porto Romano offer the necessary infrastructural, technical and human capacities to cope with the entire flow of people and goods transport that is currently carried out in the Port of Durrës. Will the transfer from the Port of Durrës to Porto Romano bring increased costs for Albanian citizens and businesses. These are important questions, which should receive answers and solutions before the approval of this project, for the very importance of the port of Durrës for transport and the Albanian economy. So, basically the concern remains that Porto Romano fulfills the required conditions to successfully perform all the functions that are currently performed by the Port of Durrës. And above all, what is the real cost of moving the port? Economic experts say that such a transfer will plunge Albania into a very large debt, since such an operation has a cost of around 1 billion Euros. So far, it is only known that the project cost 10 million Euros. Added here, what will be the cost of expropriations, the cost of legal consultancy, the determination of the urban waste disposal site, as well as the existing contracts with the Durrës Port Authority. If this turns out like this, then it should be counted as another loss that comes to the Albanian state, precisely as a result of the approval of this project.

Seventh, we analyzed in the first part regarding the exemption from the impact tax on the infrastructure of the project and exemption from the contribution to the fund for social housing, calculated at a value of 120 million euros or 6% of the total value of the investment. But, this exception, approved by a special law, raises another constitutional problem that has to do with equality before the law. Every builder, investor or entrepreneur who wants to build today is obliged to pay off these obligations. The exclusion of a specific entity from these obligations clearly constitutes a differential treatment before the law or, in other words, discrimination. In this sense, this type of treatment contradicts Article 18 of the Constitution, which enshrines equality before the law and the prohibition of discrimination. Favored treatment of a commercial subject in relation to other subjects, apart from being unacceptable discrimination, causes, as we explained above, a very serious damage to competition. This is because, due to favorable policies, the economic entity manages to build at lower costs, while having higher benefits.

Eighth, we are all witnesses of the tragic consequences of the earthquake of November 26, 2019, especially in the city of Durrës. The technical expertise showed that not only the poor quality of the works, but also the construction on unsuitable and geologically unstable terrains, led to tragedies with loss of life and serious injuries. It is a fact that the land on which the project is intended to be implemented due to its proximity to the sea, mainly sandy, presents problems for the construction of high-rise or multi-storey buildings. This is the reason that mainly in that area there are constructions or buildings with low heights and demountable structures, taking into account the fact that we are dealing with sandy areas. In this sense, the development of the project in that area also presents risks for citizens and businesses that will seek to live, work or develop their commercial activities in that area. From the accompanying documentation of the draft law, there is no in-depth study conducted by the Institute of Construction, which proves that the area in question is suitable for high-rise or multi-storey constructions. This is an element that deserves attention, as it is directly related to the health and safety of citizens.

Ninth, other questions are also related to the source of funding for this project. From the explanations given by the company itself in the feasibility study, the latter will provide about 160 million euros, namely 80 million euros from its own capital and 80 million euros from bank loans, which if we remember is many times less than the value of the state contribution, calculated from 449.1 mln Euro - 728.45 mln Euro. The company expects to realize the rest from the sale of apartments, parking lots and commercial units. Estimating that the total value of the investment is 2.1 billion euros, this means that the company plans to realize from sales and services about 1.94 billion euros that will serve to realize the complete project. What remains doubtful is what happens if the company's expectations are too optimistic and sales will not be so good. So what happens if the company fails to provide this income. The works will be suspended, the project will be abandoned halfway, the money will be taken from the citizens, but there are no houses and shops?! This actually sounds like a well-heard scenario, since in post-communist Albania there were not a few cases when Albanian or foreign investors, because they failed to realize the project, abandoned the works, leaving the citizens and businesses that had paid for them, in the middle of the road. The Albanian state has requested as a guarantee that only one of the shareholders bring first in the first phase and then in the second phase, a letter of guarantee for 30% of the value, which corresponds to the value of 600 million Euros. And yet, even if this figure were used in full, if the company's sales expectations are not realized, it would still be insufficient for the full realization of the project. On the other hand, economic experts say that the financing scheme provided for this project, which allows the company to find financing through debt and investments from third parties, easily creates the possibility of introducing dirty money. So, this project is already turning into a money laundering machine. Such schemes are already known in the towers being built in Tirana, where through sales contracts, exchange or clearing, the construction sector manages to clean millions of euros that come from criminal activities. The government has not foreseen any mechanism how in the Durrës project the Navy will detect and prevent the laundering of dirty money. The agreement expressly provides for the right of the foreign company to include other shareholders in the joint company, who, although registered in a tax haven, may soon become Albanians, as it resulted in the case of the incinerators affair or concessions in health.

Lastly, but perhaps most importantly, social impact. Above we talked about the lack of consultations with citizens, businesses, media, experts and civil society representatives. In fact, various experts have raised as very problematic the fact that the realization of this project will lead to the closure and bankruptcy of all the businesses in the area, since all commercial services will be performed by the commercial units built within the project, what will means that the surrounding businesses will be out of work and therefore will be forced to close their activities. On the other hand, businesses operating in the construction sector due to unfair and discriminatory conditions created for them will have financial difficulties to continue their projects and sell them. Added to this is the fact that citizens who have bought or invested in real estate will see large price fluctuations precisely because of the project in question. The impact that the project will have on the development of the city is another element that must be taken into consideration, starting from the role that the port has had so far in the life of the city. The lack of any kind of study regarding the social impact actually shows that the concern of the government was not the citizens and the honest businesses of Durrës, but only the enrichment of client companies close to the government, even if this is a practice in flagrant contradiction with the Constitution, the Agreement of Stabilization-Association and country laws. The social impact is actually one of the reasons why such projects that have been carried out in the countries of the region have generally selected not city centers or areas with a certain development, but coastal areas, which have been free from constructions. In this way, these projects have not created negative effects on the social life of the community or the city where they were developed on the one hand, while on the other hand, they have brought development to areas where there was no intensive activity before. But, as we said, it is clear that the interest of honest citizens and businesses of the city of Durrës, but not only, since the port attracts the interests of citizens and businesses from all over Albania, have been the last concern of the government in the face of economic interests.

In conclusion of the above analysis, the project 'Durres Marina & Yachts' presents problems in several aspects: (i) constitutional; (ii) the European integration process; (iii) economic benefit; (iv) money laundering; and (v) social impact. As we have explained above, it is clear that the approval of this draft law presents at least two constitutional problems related to equality before the law and the violation of the freedom of economic activity, in terms of competition, guaranteed by Articles 11 and 18 of the Constitution of Albania. On the other hand, the adoption of a special law to grant special rights and privileges to a certain enterprise is in open contradiction with articles 71 and 74 of the Stabilization-Association Agreement, for which the European Commission has had chance to react even earlier. Added here, from the analysis we made with figures above, what the Albanian state offers or loses is many times greater than what it will gain. From the calculation according to the market value, it results that Albania will offer properties and rights worth at least 728.45 million Euros against a profit of 280 million Euros, at the end of the full term of the project.

Meanwhile, as we have mentioned, economic experts say that the transfer of the port of Durrës to Porto Romano will have an unimaginable cost of 1 billion Euros, which would make this project completely unprofitable for the Albanian state. The experts have also explained that the lack of funding sources on the part of the company, which has no more than 160 million Euros, 80 from its capital and 80 from bank loans, opened the way to the laundering of money that has sources of illegal activities . Economic experts point out that the company's projections in terms of sales and revenues they will provide are very optimistic, almost unrealistic, for a poor country with an underdeveloped economy. In these conditions, it is clear that the company can very quickly find itself unable to realize its investment. Added here, this project has a significant social impact, especially for the residents and businesses of the city of Durrës, who as a result of a favorable and discriminatory approach of the government towards a commercial entity, this will lead to the closure of the area's businesses very quickly and the loss of jobs by citizens. Another important element to consider is the absence from the Institute of Construction of an in-depth study on the parameters of the land at the project site, when we are clearly dealing with a sandy area, known for its instability and unsuitability for construction. high and multi-storey. The complete lack of transparency, consultation with citizens, the arrogance and speed with which the government approved this agreement are clear evidence of the lack of courage to face the big problems it presents.

II. SALE OF PORT MANAGEMENT CONCESSION TO SCHAPHA DOO COMPANY

But, in addition to the above problems, for which the DP Parliamentary Group has been quite vocal all along, the transfer of the commercial port of Durrës to Porto Romano to pave the way for the construction of the "Durres Marina & Yachts" project brought a number of other problems. Specifically, the Albanian government terminated the contract for the management of the eastern terminal with the German company EMS Shipping Trading GMBH. The latter sued the Albanian state at the International Court of Arbitration on April 7, 2023.

However, as reported by the German media, in July 2024, EMS suddenly withdrew the lawsuit in international arbitration and sold the concession for 13 million euros to a Croatian company, called Schapha doo. This apparently normal transaction has raised many questions. Always referring to the German media, experts in Berlin and Brussels have questioned why a small Croatian company would take on such a risky contract. Investigations suggest that Schapha doo is a fictitious company with close ties to powerful Croatian actors and Albanian interests. Its purpose appears to be to secure control over the new strategic port at Porto Romano.

From the analysis of the German media Focus.de, it appears that the former director of the Port of Durrës, the current Minister of Defense Pirro Vëngu, also has a key role in this issue. The information shows that his actions were carried out with the knowledge and approval of the Minister of Infrastructure, Belinda Balluku. The latter allegedly gave instructions to make contacts with the multinational company MAERSK. MAERSK's regional director for the Adriatic is described as a central figure in this network.

The result? With Schapha doo as a front, a local Albanian oligarch, with the support of MAERSK's regional managers, can secure the exclusive rights to manage the new port for the next 45 years. Critics suspect that the tendering process, still not officially announced, is rigged and predetermined for certain actors.

The revelations take on global proportions, as the owners of Schapha doo have connections to Ecuador and Colombia. Various sources express concerns that these countries could be used as strategic points for drug trafficking routes, including Albania, which is already monitored by the DEA.

These discoveries can have great consequences for Albania. Experts warn that the lack of control of international investors may have inadvertently favored criminal networks. Meanwhile, the Albanian government, headed by Prime Minister Edi Rama and Minister Balluku, is facing harsh criticism, both in the country and abroad. The opposition has used this situation to accuse the government of corruption and mismanagement.

At the international level, the case may negatively affect the confidence of European and German investors. The role of MAERSK, a respected multinational company, is expected to attract the attention of the media and global institutions.

The German media Focus.de closes its article with the following conclusion: 'The crisis of the port of Durrës shows Albania's attempt to balance between economic development and dark political networks. International actors and the European Union can demand independent investigations and transparent processes to restore trust. In this battle, Albania not only risks a multibillion project, but also its image as a developing country that aims to attract foreign investors and maintain stability in a fragile region.'

III. CONSTRUCTION OF THE NEW PORT IN PORTO ROMANO

Following the above analysis, the 'Durres Marina & Yachts' project also brings the transfer of the commercial port for goods and passengers to Porto Romano. Although initially Prime Minister Edi Rama and Minister Belinda Balluku had stated that the construction of the new port in Porto Romano will not cost the Albanian taxpayers a single lek, as it will be built with private financing, then it was announced that the construction will be done with funds of the State Budget. So, in addition to the forgiveness of the land surface, construction surfaces, exemption from fiscal obligations, the Albanian state will also bear the cost of building the new port in Porto Romano, which, as we explained above, will have a very high value.

In fact, even regarding the real costs of the new port in Porto Romano, Prime Minister Rama and Minister Balluku have acted in a lack of transparency, as it was initially said that the cost of the project would be 393 million euros. However, it was later revealed that this figure only represented the project phase, as the second phase of the project would cost another 261 million euros. To continue with the cost of a naval base worth 366 million euros, which means that in total the cost of building the new port in Porto Romano will reach at least 1 billion and 20 million euros. Experts suggest that the cost may still be much higher, but in the absence of information and transparency from the government, it is still not possible to accurately determine how much the final bill will be.

IV. ESTABLISHMENT OF THE PARLIAMENTARY INQUIRY COMMISSION

The concerns and issues analyzed above have been continuously raised by the opposition, civil society, media and experts in the field. However, so far they have not received any response from the government. Meanwhile, two years after the approval of the law and its 14 appendices, it remains unclear at what stage the works for the 'Durres Marina & Yachts' project are, as well as the works for the construction of the new commercial port in Porto Romano. Precisely, with the purpose of examining the procedures followed for the project 'Durres Marina & Yachts', the sale of the port management concession to the company Schapha d.o.o., and the construction of the new port in Porto Romano, the control of legality, the issuing of institutional responsibilities and the assessment of the need to take the necessary measures, including legal interventions, the undersigned MPs request the establishment of a Parliamentary Commission of Inquiry for the Control of Legality in the Procedures of (i) Approval of the project "Marina & Yachts of Durrës"; (ii) Sale of the port management concession to the company Schapha doo; and (iii) Construction of the new port in Porto Romano.

The Constitutional Court qualifies as a 'constitutional competence' the right of the parliamentary minority to set up a parliamentary investigative commission. By vesting a quarter of the deputies with this power, the Constitution '...institutionalizes another type of constitutional authority, which is known as the power of the parliamentary minority', which is carried out '...independently...' and which is '....unlimited by the will of the majority'. The right of investigative control has been recognized by the parliamentary minority, which, having limited means at its disposal, can transform it into a powerful constitutional instrument.

The normal exercise of the activity of the Assembly requires the existence of necessary elements related to the creation of conditions for the respect of laws by all other bodies of public power and citizens, as well as equipping it with the appropriate means for carrying out control over the way of implementing laws and protecting the public interest. The investigative commissions that are set up for this purpose in the sense of Article 77 of the Constitution, are a tool that serves exactly the exercise of parliamentary control. They are an important instrument of the parliament for gathering information on specific issues, with the aim of reaching certain conclusions.

The purpose of the Investigative Commission that is requested to be created on the basis of this request is to collect detailed information on the implementation of the law in the approval procedures of the project "Durres Marina & Yachts", the sale of the port management concession to a foreign company ( unknown) and the construction of the new commercial port in Porto Romano, as well as assess the need for the approval, correction, change of the relevant legislation, in order to guarantee the important constitutional principles of the protection of public property, free competition, equality before the law, non-discrimination, the protection of objects of strategic importance and the preservation of the state budget from misuse.

The object and purpose of the establishment of this Commission of Inquiry is in accordance with the Constitution and the basic constitutional principles, because it does not involve overlaps or transfers of powers provided by the Constitution to other bodies, but aims at the recognition and verification in detail of all the problems that related to the procedures for the 'Durres Marina & Yachts' project, the sale of the port management concession and the construction of the new commercial port in Porto Romano, in order to control the implementation of the legislation in force, to bring out institutional responsibilities, as well as to take appropriate measures in terms of protecting the principles of legality, equality, competition, meritocracy, economic efficiency, protection of public property and preservation of the state budget in all public contracts that the Albanian government engages.

The protection, respect and promotion of these principles in the procedures for concluding public contracts are also conditions dictated by articles 71 and 74 of the Stabilization-Association Agreement, within the European integration of Albania. In this sense, it is the duty of the Assembly, after performing a complete scan of the issues, to take any kind of necessary measure that prevents abuses and legal violations in the future in public contracts, with the government or the Albanian state.

The Commission's right to carry out investigations will be realized only within the function of parliamentary control and the constitutional duties that cover the deputies, as representatives of the people and spokespersons of the public interest, for the complete clarification of this issue. The usefulness of this investigation consists precisely in the elicitation of institutional responsibilities, helping to highlight problems and the proper functioning of the rule of law.

If we refer to international practice, the nature of the cases investigated by investigative commissions has been of substantial or primary importance to the public, with a particular impact on interstate relations, with the aim of eliciting institutional responsibilities and preventing the repetition of the investigated phenomena in the future. In this direction, most cases have had as their object the administration of public funds, interstate relations, bankruptcies of corporations or various private entities, which have had an impact on the country's economy, or the investigation of criminal phenomena.

In the present case, the work of the Investigative Commission will not consist in issuing criminal responsibilities for persons who may have potentially committed violations, as this is a functional duty of the justice bodies. The Investigative Commission will focus its work on the recognition and in-depth verification of the legality of the institutional practices followed at all stages for the approval of the "Durres Marina & Yachts" project, the termination of the contract with the German company EMS and the sale of the concession to the company Croatian Schapha doo, as well as the design and construction of the new commercial port in Porto Romano. On the other hand, the collection of detailed information from the relevant institutions aims to, in accordance with the reality dictated by the circumstances, evidence and available data, draw conclusions on the need to approve, complete or correct special laws, with the aim of providing a full legal and institutional protection of the principles of legality, equality, competition, meritocracy, economic efficiency, protection of public property and preservation of the state budget in all public contracts that the Albanian government undertakes.

The request for the establishment by the Assembly of an investigative commission fulfills the three constitutional criteria as follows: (i) the issue concerns the legislative function and other functions for which he is authorized to take legal measures; (ii) the object of the investigation focuses on a concrete issue; and (iii) there are sufficient data and evidence that testify to the existence of problems related to the procedures for the approval of the project 'Durres Marina & Yachts', the sale of the port management concession and the construction of the new commercial port in Porto Romano.

The request for the establishment of an Investigative Commission for the Control of Legality in the Procedures of (i) Approval of the project 'Durres Marina & Yachts'; (ii) Sale of the port management concession to the company Schapha doo; and (iii) The construction of the new port in Porto Romano, is based on article 77, point 2 of the Constitution, which provides that: 'The Assembly has the right and, at the request of a quarter of all its members, is obliged to appoint a commission of inquiry to examine a special case.', as well as article 25 of the Assembly Regulation, which provides that '1. The Assembly has the right and, at the request of a quarter of all its members, is obliged to appoint a commission of inquiry to examine a specific issue. 2. The investigation commissions of the Assembly act according to the procedure provided by law.'

Therefore, taking into account the above, we, a group of deputies, no less than ¼ of the members of the Assembly of Albania, based on Article 77, point 2 of the Constitution and Article 25, points 1 and 2 of the Rules of the Assembly,

WE WANT:

1. The establishment of an Investigative Committee of the Assembly for the Control of Legality in the Procedures of (i) Approval of the project 'Durres Marina & Yachts'; (ii) Sale of the port management concession to the company Schapha doo; and (iii) Construction of the new port in Porto Romano.

2. The purpose of the Commission's activity is: (i) examination of all issues related to the approval of the project "Durres Marina & Yachts", the termination of the contract with the German company EMS and the sale of the concession to the Croatian company Schapha doo, as well as the design and construction of the new commercial port in Porto Romano; and ii) assessment of the need to take measures, including legal interventions through the adoption, correction or completion of relevant legislation to guarantee the principles of legality, equality, competition, meritocracy, economic efficiency, protection of public property and preservation of the state budget in all public contracts that the Albanian government undertakes.

3. The Commission will consist of 11 (eleven) members, of which the chairman and four members belong to the Parliamentary Group of the Democratic Party and six members to the Parliamentary Group of the Socialist Party.

4. The commission exercises its activity for a period of 6 months from the date of approval of this decision.

5. The meeting of the Conference of Chairmen to consider this request and set the date of approval in the Assembly at the nearest plenary session.