EC Pulls the Plug on National Museum Project
The European Commission turned down the financing application for the National Museum's new building in Tartu.
The EC had already rejected the museum's earlier application for 32 million euros, submitted in June 2011, asking for additional information regarding the venture. This time, however, the EC recommended the museum scrap the 2008 project in its current form altogether, ERR radio reported.
The European Commission's main qualm has been that the construction would cost more than planners have insisted. In June, the museum failed to find a builder, as all bidders said the work would cost more than organizers had planned. Bids for the tender ranged from 51 to 71 million euros, but the museum was only willing to pay 38 million euros for the construction.
The EC has also said that the 170,000 guest target for 2018 is unrealistic.
According to Krista Aru, director of the museum, the EC recommended making radical changes to the project and submitting a new application for the next funding round in 2014.
Undersecretary of the Ministry of Finance Ivar Sikk told uudised.err.ee that the state real estate management company Riigi Kinnisvara AS together with the Ministry of Culture are currently working on financing alternatives for the museum.
The aim is to arrive on a consensus on large public sector investments by April, when the Cabinet is expected to approve next year's budget strategy, he said.
Both Minister of Culture Rein Lang and Prime Minister Andrus Ansip have pledged their support to the construction of the new museum and said that the project will be completed regardless of the EC decision.
Ingrid Teesalu