BETTER SELL HRAZDAN 5 THAN NEGOTIATE

Lragir.am
14 April 06

On April 14 the sale of the fifth generating unit of the Thermal Power
Plant of Hrazdan was discussed at the Hayeli Club. The main speakers
were Khosrov Harutiunyan, the leader of the Christian Democratic Party
and Vazgen Manukyan, the leader of the National Democratic Union. The
discussion often deviated from the topic.

Khosrov Harutiunyan thinks the right of ownership of the energy
capacity is not as important as `the supplier of raw materials for
these industries.’ With regard to this our situation is not better;
over half of our energy capacity is owned by Russia, where 75 per cent
of the entire energy is generated. With regard to this we are
vulnerable, as for Hrazdan 5, there is nothing strange, thinks Khosrov
Harutiunyan. Vazgen Manukyan agrees, however he disagrees with regard
to the right of ownership of energy capacity, `Not only the child is
important, but also the child’s father.’

Naturally, the high price of gas used in Hrazdan 5 and Thermal Power
Plants and its prehistory could not be neglected. The speakers agreed
on the question that selling Hrazdan 5 was a mistake. Khosrov
Harutiunyan offered to review the terms and conditions of stationing
Russian military installations in Armenia to counterbalance the
increased price of gas. Vazgen Manukyan offers another solution: the
Russian gas is getting more expensive, Armenia can decide the width of
the Iran-Armenia gas pipeline, not Russia, and not sell the
Iran-Armenia gas pipeline. The speakers say it will be a mistake to
give the gas pipeline to Armenia. To emphasize the importance of the
pipeline Khosrov Harutiunyan cites the example of the owner of
Vanadzor Chemprom Senik Gevorgyan, who bought 2 billion cubic meters
of gas but did not have a pipeline to transport it to
Vanadzor. Especially that Georgia also has expensive Russian gas but
does not have to sell anything to Russia.

Today’s speakers think it is strange that the price of gas supplied to
Armenia was set for the upcoming three years, while it is accepted to
decide the price of this product for 15-20-25 years. Consequently, the
deal has a political component and context, conclude the speakers
without going into detail. They only mention that the Russian gas
supplied to Armenia will soon go up again.

The leader of the Christian Democratic Party emphasizes the role of
the National Assembly in preventing the transfer of the Iran-Armenia
gas pipeline to Russia. The executive which was engaged in the deal
must have the support of the legislative. `The National Assembly can
adopt a law, barring the ownership of strategic objects by a foreign
country.’ Vazgen Manukyan agrees but he does not think that the
National Assembly can have certain importance in giving whatever we
have to Russia. `There is no National Assembly. This is not the body
where you can say something right and they will understand you.’

`The energy sector is an opportunity to restore the importance of
Armenia in the region,’ thinks Khosrov Harutiunyan. Therefore, Hrazdan
5 must not become an asset of Armrusgasard, a third party must be
barred in the Iran-Armenia gas programs, and a new nuclear station
should be built, preferably not operating on Russian fuel, and the
volume of renewable energy generation, the volume of production of the
hydro power plants must be increased.