ARMENIAN PAPER DESCRIBES AS “CRIMINAL” HANDOVER OF PART OF POWER PLANT TO RUSSIA

Aykakan Zhamanak, Yerevan
8 Apr 06

The Armenian opposition Aykakan Zhamanak newspaper has described as
“a criminal deal” the handover of the fifth unit of the Razdan power
plant to Russia.

In an article headlined “They have sold a cow at the price of milk”,
the paper said the deal was advantageous for the Russian and Armenian
authorities but not for Armenia.

“This deal lacks an economic component. Talks that in this way
Armenia will step up its energy security are a fairy tale. What kind
of security are they speaking about if almost 90 per cent of Armenia’s
energy producing facilities belong to a foreign state?” the daily said.

The unit will remain an Armenian property. Russia will pay 250m
dollars for it. However, of this sum, Armenia will pay 190m dollars
to the population to compensate for the rise in Russian gas price.

“It becomes evident that this deal is simply an unprecedented one
because of it making no sense,” Aykakan Zhamanak said.

Under an agreement between Iran and Armenia, Iran is to supply gas
to the fifth unit and receive electricity produced by it instead. In
accordance with the agreement, the fifth unit is to produce 3.5bn KWh
electricity annually, which is more than half of electricity produced
by Armenia last year, the newspaper added.