The Australian government has been forced to back down from its attempt to block the building of the new Russian embassy in Canberra after a court ruled construction ought to go ahead.
The National Capital Authority announced last year it had terminated construction of the embassy in Yarralumla citing concerns the embassy had been on the site too long without developing it.
The agency, which manages Commonwealth land in Canberra, made the decision six months after Russia’s full-scale invasion of Ukraine and amid concerns the Kremlin was enhancing its spy capabilities in Australia.
Russia likewise accused the Australian government at the time of attempting to thwart its own attempts to guard against Australian espionage efforts, as the federal government ramped up efforts to aid the embattled Ukrainian army.
The Federal Court of Australia on Wednesday ruled the NCA’s attempts to terminate the Russian government’s lease as being “invalid and of no effect”, and restrained the agency from interfering with the Russian government’s “quiet enjoyment of the land”.
The court also ruled the NCA would be restrained from re-entering or taking possession of the land.
An order for costs made last year was also nixed by the court.
In a statement, the Russian government said it was preparing to resume work on the site.
“The embassy is committed to resume works on the site and timely complete the construction,” the statement said.
The stoush began in 2011 after the Russian government had plans approved to expand the site, three years after purchasing it.
After years without major progress, the NCA said it was forced to take a “use it or lose it” approach amid a shortness in diplomatic land.
The Ukrainian government expressed interest in buying the land shortly after the termination.
A spokesman for the Russian embassy told the Guardian last year its efforts to guard against Australian espionage were being frustrated.
“In today’s world embassies are built to certain standards of security, including protection against espionage by the receiving country,” the spokesman 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.”