LNTPA Meeting with Vilnius Infrastructure Companies

To address issues related to Vilnius’s infrastructure development more efficiently, members of the Lithuanian Real Estate Development Association (LNTPA) met for a constructive discussion with representatives of “Vilniaus Vandenys” (VV), ESO, “Grindos,” “Gijos,” and representatives of the Vilnius City Municipality (VMS). The purpose of the meeting was to identify bottlenecks in the processes and find solutions that would allow real estate developers to implement projects more quickly and easily.

ESO: Updates on the capacity fee and phasing
One of the most pressing issues at the meeting was ESO’s capacity fee. An important update was presented during the discussion: an agreement is being sought so that the capacity fee would not be calculated based on the total capacity of the facility until the project has begun operations.

Key points:

Capacity is reserved for 12 months to prevent other customers from claiming it while design work is underway.

ESO recommends that real estate developers divide projects into phases. The capacity fee will be paid only for the portion for which an electricity meter cabinet is installed, rather than for the entire future demand at once.

ESO assigns personal managers to large clients and real estate groups, and also offers consultations on project coordination.

“Vilniaus Vandenys” and VMS: Network Transfer and the Issue of Easements
The procedure for transferring water supply and wastewater networks has sparked much debate. Real estate developers would like the option to construct and transfer networks in phases so that buildings are not held “hostage” by infrastructure in later phases that has not yet been completed.

Key points:

It has been confirmed that networks may be transferred in parts if this is provided for during project preparation and the proper functioning of accounting systems is ensured.

A systemic problem regarding the registration of easements has been identified. Currently, the municipality does not accept the transfer of networks until all easements have been registered, which often takes a long time. It was agreed to organize a separate meeting between the VV, LNTPA, and VMS to simplify this procedure (for example, by allowing easements to be registered prior to the issuance of the construction completion certificate).

It was noted that, according to the law, developers are required to install only service connections, while the main networks are the operator’s responsibility; however, in practice, this still causes misunderstandings, which will be addressed when approving the new special plan (May 13).

“Grinda” and stormwater drainage
Due to the exceptionally long project approval deadlines (exceeding 20 days), the issue was raised directly with representatives of “Grinda.” The aim is for this institution to adopt the best practices of other network operators and accelerate the project approval process.

Stability of Access Conditions (AC)
The issue of frequently changing connection conditions was raised at the meeting. It is acknowledged that this is a mutual problem: while developers do not always provide accurate project timelines or resource estimates, municipal companies also do not always assess the situation competently. Therefore, mutual dialogue, cooperation, and the rapid search for solutions among all participants in the process are crucial factors in ensuring the smoothest possible course of action.

Upcoming Actions
Special Plan: On May 13, a special plan will be approved that will provide greater clarity regarding the expansion of the main networks.

Working Group on Easements: An additional meeting will be organized with the State Property Fund (VV) and the State Property Management Service (VMS) to address issues related to the registration of easements and the resolution of obstacles to network takeovers.

Translated with DeepL.com