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ABC News
ABC News
National

Court rules Russia can continue plans to build a new embassy in Canberra after failed eviction

Russia's new embassy in Yarralumla was meant to be finished by 2014. (ABC News: Tamara Penniket)

The Russian embassy has avoided eviction from its new site in Canberra after winning a legal battle against an Australian government agency.

The Federal Court has ruled that last year's eviction order from the National Capital Authority (NCA) was invalid.

At the time, the NCA had cited Russia's failure to finish construction at the new Yarralumla site, adjacent to Parliament House, within an agreed three-year deadline.

The embassy received building approval to replace its ageing Griffith facility in 2011.

NCA chief executive Sally Barnes had said her agency decided to invoke its "use it or lose it" policy because of the "limited blocks currently available for diplomatic purposes" in the capital.

"The block is a premium site in central Canberra, close to Lake Burley Griffin and the Australian Parliament House," Ms Barnes said at the time.

"Ongoing unfinished works detract from the overall aesthetic, importance and dignity of the area reserved for diplomatic missions and foreign representation in the national capital."

NCA chief Sally Barnes argued the unused land was going to waste. (ABC News: Tahlia Roy )

At the time, the NCA denied that the lease termination was connected to Russia's invasion of Ukraine, saying it was an "independent issue that arose from a contravention of the lease".

The NCA had ordered the land be vacated within 20 days.

But Justice Steven Rares sided with the Russian government, ordering the NCA not to re-enter the land, take possession of the land, or interfere with the Russian government's "quiet enjoyment of the land".

The Commonwealth has not been made to pay the Russians' legal costs.

In a statement, the NCA described the court orders as an agreement "that brings this proceeding to an end and maintains the status quo on the site of the proposed new Russian embassy."

"Any questions about the site are best answered by the [government of the Russian Federation]," the agency added. 

The Russian government said it would not comment on the decision but pointed to a social media post on the Embassy of Russia in Australia Facebook page.

"The embassy is committed to resume works on the site and timely [completion of] the construction," the post said.

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