The Russian embassy has confirmed it will push ahead with legal action over a decision to expel it from the site of its new Canberra embassy.
Last month, the National Capital Authority (NCA) publicly announced a decision to terminate the Russian government’s lease on a block of land in Yarralumla, where it was building its new embassy. The Russian government was ordered to clear the site within 20 days.
In response, the Russian embassy signalled it was considering legal action against the NCA, describing its decision as “unprecedented and highly unwelcome”.
The threat of litigation forced the NCA to delay its deadline.
On Wednesday, the Russian embassy confirmed it was proceeding with its legal action, though did not respond to questions about which court it would seek to have the matter heard.
“We can confirm that the embassy is taking legal action,” a spokesperson said. “We would like to refrain from further comments for the time being.
A spokesperson for the NCA said both parties had “agreed to maintain current day-to-day management arrangements at the site in the short term”.
“The NCA is conscious not to comment further given the intended legal processes,” the spokesperson said.
The Russian government bought the lease for the site in 2008 and had plans approved in 2011 but the NCA, which oversees planning and development in Canberra’s diplomatic zone, said the embassy had failed to progress the works, leaving the site disused.
This detracted “from the overall aesthetic, importance and dignity of the area reserved for diplomatic missions and foreign representation in the national capital”, the NCA said.
The NCA said diplomatic blocks were in limited supply, forcing it to take a “use-it-or-lose-it” approach to their development.
News Corp reported that there were concerns about the potential for Russia’s new embassy to enhance its intelligence capabilities. The Russian embassy told the Guardian the Australian government had sought to frustrate its efforts to guard its embassy against Australian intelligence.
“In today’s world embassies are built to certain standards of security, including protection against espionage by the receiving country,” the spokesperson said. “Without going into details – and to put it mildly – the Australian side was not eager at all to ensure that in respect of the new building of the Russian embassy in Canberra.”
The embassy conceded that the project had “encountered multiple problems and delays”, but said: “At all times these were a matter of constructive and frank consultations between the embassy and the NCA.”
Ukraine is hoping to acquire the plot of land.
The Ukrainian ambassador to Australia, Vasyl Myroshnychenko, said last month that that once he received approval from his government, he would make a formal application to the NCA.
“The Ukrainian government is renting an office space in a building for the embassy, and I don’t have a residence, we’ve just rented a small townhouse,” the ambassador told ABC radio. “That would be very nice, if we could get that plot of land.”
Last month, NCA chief executive, Sally Barnes, said the lease was terminated “in the absence of a commitment to a completion date”.
“With limited blocks currently available for diplomatic purposes, unless a country can demonstrate a willingness and ability to develop the site, the NCA supports a policy of ‘Use it or lose it’.”