Free Party MPs submitted an interpellation to Minister of Public Administration Mihhail Korb (Center) regarding whether the state-owned real estate management firm Riigi Kinnisvara AS (RKAS) is up to its tasks.
The Free Party's interpellation was based on the audit of the National Audit Office, which found that Estonia's real estate reform has progressed in an uncoordinated fashion, the reform has yet to be completed in 15 years, the goals of the reform have not been achieved and it is still unknown how much and what real estate the Estonian state needs in order to fulfill its duties.
The MPs expect the minister to explain the increase in real estate costs, as RKAS' central management of real estate maintenance has not provided state institutions with the expected cost savings.
Likewise according to the audit, the money paid to RKAS is not enough to cover the costs of maintaining the buildings in good condition, state real estate is in need of an estimated €500 million in renovations and, according to Ministry of Finance forecasts, state real estate expenses are expected to double.
The interpellation seeks to find out when the Estonian government will receive for confirmation the national real estate strategy and on which objectives it should focus.
The MPs also want to know when it will become clear how much real estate the Estonian state will need over the next ten years in order to fulfill its tasks and how and when the need for €500 million in renovations will be satisfied.
Referring to the audit of the national Audit Office, Free Party parliamentary group vice-chairman Andres Ammas said that the state lacks a clear and uniform real estate policy.
The Free Party MPs are also asking Korb whether RKAS' form as a company has justified itself or whether it is instead an obstacle in solving state real estate-related issues, as well as how much the state's real estate costs are expected to decrease within the frameworkof the state reform.
Editor: Editor: Aili Vahtla