PRICE FOR ZOVASHEN HYDRO POWER PLANT’S ELECTRICITY TO INCREASE FROM AMD 15.6 TO 19.8

ARKA
April 18, 2008

YEREVAN, April 18. /ARKA/. Armenian Public Services Regulatory
Commission has approved new prices for the electricity generated by
small hydro power plant Zovashen.

Hayk Gosalmyan, chief of one of units of the commission, said that
one kilowatt/hour will cost AMD 19.827 with VAT (16.523 without VAT).

He said that on July 31, 2002, the commission decided to set price for
the plant-generated electric power at AMD 15.6 for one kilowatt/hour
with VAT (AMD 12.98 per 1 kilowatt/hour without VAT), The decision
took force on September 1, 2002.

Gosalmyan said that the new decision will take force on May 19, 2008.

He said the aggregate capacity of the plant is 1520 kilowatt/hour,
its annual output is 3.64 million kilowatt/hour, of which useful
output 3.58 million.

Gosalmyan also said that the company’s investments exceed AMD 131.8
million without VAT.

The commission gave Zovashen HPP Company a license for constructing
Zovashen small hydro power plant in Ararat Valley. The license term
is 15 years.

By January 1, 2008, 61 small HPPs had been operating in Armenia –
a four-fold increase over the last four years. Their total capacity
is 75MW and annual energy output 244mln kw/h.

Sixty more HPPs are being constructed, their total designed capacity
being 145 MW and annual energy output 517kw/h.

Most of the HPPs are being constructed in the Syunik region (20
operating HPPs and 13 small HPPs currently under construction)
and in the Lori region (15 operating HPPs and 10 small HPPs under
construction).

The Commission is expected to issue at least 20 licenses for the
construction of HPPs before the end of 2008, with ten HPPs to be put
into operation.

From: Emil Lazarian | Ararat NewsPress