RFE/RL Armenian Report – 07/04/2017

                                        Tuesday, July 4, 2017

Sarkisian Praises Armenia's `Strong' Ties With U.S.
July 4, 2017

 . Emil Danielyan


Armenia - President Serzh Sarkisian (L) and U.S. Ambassador Richard
Mills plant a tree at the U.S. Embassy compound in Yerevan, 4Jul2017.

President Serzh Sarkisian praised Armenia's "strong partnership" with
the United States on Tuesday when he congratulated his
U.S. counterpart Donald Trump on America's Independence Day.

"Today we can unmistakably state that in the past quarter of a
century, together we have succeeded in building a close and strong
partnership between our nations anchored in mutual respect and trust,"
Sarkisian said in a congratulatory message to Trump.

He expressed hope that the two countries will "enrich the agenda of
Armenian-American relations with new mutually beneficial initiatives
and projects." He again thanked the U.S. for its economic assistance
provided to Armenia since the early 1990s and praised Washington's
role in international efforts to resolve the Nagorno-Karabakh
conflict.

Throughout his nine-year rule, Sarkisian has sought closer ties with
the United States, including in the area of defense, while maintaining
Armenia's political and military alliance with Russia. He has
repeatedly stated in recent years that U.S.-Armenian relations are now
closer than ever before. He expressed confidence in November that they
will "continue to develop dynamically" during Trump's presidency.

The Armenian leader on Tuesday also visited the U.S. Embassy in
Yerevan and met U.S. Ambassador Richard Mills on the occasion. The two
men planted an apricot tree in the sprawling embassy compound
symbolizing the U.S. independence anniversary and the 25th anniversary
of the establishment of U.S.-Armenian diplomatic ties.

"We hope our relationship will grow even stronger, and we are
especially keen to further deepen our trade and investment ties,"
Sarkisian's press office quoted Mills as saying.


Armenia - Prime Minister Karen Karapetian speaks at an Independence
Day reception hosted by the U.S. Embassy in Yerevan, 30Jun2017.

On Friday, the U.S. mission hosted an annual Independence Day
reception attended by hundreds of Armenian dignitaries, including
Prime Minister Karen Karapetian and several members of his cabinet. In
a speech delivered at the event, Karapetian described Yerevan's
relationship with Washington as "very good, businesslike, honest and
sincere." "I am very happy with it and ready to continue it," he said.

Karapetian also said he hopes the two governments will work together
to attract more U.S. investments in the Armenian economy.

Mills spoke in February of "considerable progress" in bilateral
commercial ties, pointing to multimillion-dollar U.S. investments in
Armenia's energy and mining sectors. Those include a $250 million
acquisition of Armenia's largest hydroelectric complex. Another
private company headquartered in the U.S. state of Colorado began
building last year a gold mine that will significantly increase
Armenian exports of gold.

Mills said last month that the South Caucasus state can attract
billions of dollars in investments from U.S. energy companies if it
liberalizes its energy sector.

According to Armenian government data, Armenia's trade with the
U.S. rose by over 32 percent to $60 million in the first five months
of this year. The figure is equivalent to around 3 percent of
Armenia's overall foreign trade in that period.



Armenian Government To Tap Vital Lake For Emergency Irrigation
July 4, 2017

 . Astghik Bedevian


Armenia - Lake Sevan.

Ignoring serious concerns voiced by environmentalists, the Armenian
parliament allowed the government on Tuesday to significantly increase
this year the amount of water from Lake Sevan used for irrigation.

The vast mountainous lake, which is vital for Armenia's entire
ecosystem, is a key source of irrigation water supplied to the
fruit-growing Ararat Valley west and south of Yerevan through the
Hrazdan river flowing out of it. It also fuels the country's second
most important hydroelectric complex built along the river in Soviet
times.

An Armenian law allows the government to use no more than 170 million
cubic meters of Sevan's water annually for irrigation and power
generation purposes. The government asked the National Assembly to
raise that cap by 100 million cubic meters for the current irrigation
season, citing decreased rainfall in 2017.

Presenting a relevant bill to lawmakers, the head of the State
Committee on Water Resources, Arsen Harutiunian, said that around
130,000 farmers are now risking serious water shortages that could
have devastating consequences for their crops.

Armenia's leading environment protection groups are strongly opposed
to the urgent measure sought by the government. They say that it would
reverse a more than decade-long rise in Sevan's water level seen as
critical for saving its endangered ecosystem.


Armenia - A sailboat on Lake Sevan.

Significantly, the Armenian Ministry of Environment Protection has
added its voice to these concerns, formally objecting to the proposed
additional use of the lake's water. It estimates that Sevan's level
would fall by 8 centimeters as a result.

"[The government plans] will have an impact on the ecosystem,"
admitted Harutiunian. "But the problem which we are highlighting is
much more important," he said, referring to the struggling
agricultural sector.

Harutiunian also argued that Sevan's level rose by 16 centimeters in
2015 and another 18 centimeters last year mainly because of water
pumped into the lake from other rivers through two underground
canals. The lake will therefore have more water than it did in 2016
even after the emergency irrigation supply, the official said before
the parliament approved the bill in the first reading.

Only three deputies, all of them representing the opposition Yelk
alliance, voted against the measure. One of them, Lena Nazarian, said
that instead of seeking a heavier use of Sevan's water the government
should have cut back on a continuing waste of irrigation water. She
said that the irrigation networks remain highly inefficient despite
large amounts of budgetary funds that have been allocated in recent
years for their rehabilitation.

Harutiunian acknowledged that as much as 55 percent of irrigation
water is lost before reaching farmers.



Defendants, Lawyers Sanctioned During High-Profile Trial
July 4, 2017

 . Karlen Aslanian


Armenia - Zhirayr Sefilian, an arrested opposition figure, greets
supporters during is trial in Yerevan, 13Jun2017.

The tense trial of Zhirayr Sefilian, a radical opposition figure, and
six other men accused of plotting an armed revolt against the Armenian
government continued on Tuesday in the absence of most defendants and
their lawyers.

Sefilian, who leads the Founding Parliament opposition movement, was
arrested in June 2016 for allegedly forming an armed group to seize
government buildings in Yerevan. He denies the charges as politically
motivated.

Sefilian and the six other suspects also kept under arrest went on
trial in late May. The several court hearings on the case held to date
have been marred by tense verbal exchanges between defendants and
their attorneys and the presiding judge, Tatevik Grigorian.

At the previous hearing held last week Grigorian ordered Sefilian's
and three other defendants' removal from the courtroom for contempt of
court. Their lawyers walked out of the courtroom in protest.

Grigorian told them on Tuesday that their lawyers will be disqualified
from the trial because of their failure to attend its last three
sessions. She said they must therefore hire new lawyers or be
represented by state-appointed attorneys.

"I won't abandon my lawyers," responded Sefilian. "Keep your lawyers
for yourself," he said before being again taken away by
law-enforcement officers.

"The court has no right to appoint my lawyer," said Gevorg Safarian,
another arrested Founding Parliament member. "I won't authorize any
other lawyer to act on my behalf."

The 30-year-old judge eventually ruled that Sefilian and another
defendant, Nerses Poghosian, will be represented by other attorneys
picked by them. The two other defendants, she said, will get public
defenders against their will.

Two lawyers walked out of the courtroom after bitterly arguing with
the judge afterwards. "They want to silence us and stop us from
decrying abuses committed in the courtroom," one of them, Ara
Papikian, told RFE/RL's Armenian service (Azatutyun.am).

Sefilian's arrest came less than one month before three dozen armed
men affiliated with Founding Parliament seized a police station in
Yerevan. The gunmen demanded that President Serzh Sarkisian free their
leader and step down. They surrendered to law-enforcement authorities
following a two-week standoff which left three police officers dead.



Press Review
July 4, 2017

Speaking to "168 Zham," Arthur Martirosian, a Boston-based Armenian
analyst, insists that Armenia's deepening relations with the European
Union "does not contradict Russian interests in any way." He says that
any Russian attempt to impede those ties would only whip up
anti-Russian sentiment in the country. Russia should therefore take a
"neutral stance" on the EU-Armenia framework agreement which is due to
be signed in November, he says. "Anything that does not threaten its
interests and benefits its strategic partner and ally should be
approved by Moscow," adds Martirosian.

"Aravot" says that Russian Foreign Minister Sergey Lavrov's criticism
of the EU's Eastern Partnership program raised more questions about
Russian reaction to the upcoming EU-Armenia deal. "It remains unclear
what kind of an agreement it is and what consequences it should have
for Armenia in relation to our strategic ally," writes the paper. It
dismisses the Russian concerns over the Eastern Partnership.

"Zhoghovurd" is unconvinced by the Armenian government's pledge to
considerably cut poverty and raise the national minimum wage in the
next five years. "On the contrary, the experience of the previous
governments shows that [government] programs remain on paper and the
same fate most probably awaits this program," predicts the
paper. "They could come up with dozens of excuses such as ups and
downs of the global or Russian economy."

Citing official statistics, "Haykakan Zhamanak" reports that real
estate prices in Armenia went down sharply in May. In particular, the
paper says, they hit a five-year low in Yerevan. It says that this
trend is fraught with additional lending risks for Armenian commercial
banks, which often use private apartments and houses as loan
collaterals.

(Tigran Avetisian)


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