KfW Bank To Provide 14.6 Million Euros For Reconstruction Of Gyumri-

KFW BANK TO PROVIDE 14.6 MILLION EUROS FOR RECONSTRUCTION OF GYUMRI-2 HIGH-VOLTAGE SUBSTATION

Noyan Tapan

Jan 30, 2009

YEREVAN, JANUARY 30, NOYAN TAPAN. The RA ministry of finance, KfW Bank
(Germany) and High-Voltage Electric Networks of Armenia CJSC on January
30 signed an agreement on credit provision and program financing,
by which up to 14.6 million euros will be allocated in the form of
mixed financing with budget and market resources for reconstruction
of Gyumri-2 high-voltage substation. The agreement was signed based
on the intergovernmental agreement signed between the governments of
Armenia and Germany on May 16, 2008.

The program envisages fully reconstructing Gyumri-2 substation
by equipping it with modern reliable equipment which will allow
to raise the reliability of power supply of Gyumri and adjacent
communities and in parallel with it, to create prerequisites for
regional cooperation. Gyumri-2 not only ensures the power supply
of the city of Gyumri and the north-west of Armenia but also has
a regional importance as an exchange of power with Turkey is made
through Gyumri-Kars high-voltage line.

According to the Information and PR Department of the RA Ministry of
Finance, within the frame of Armenian-German financial cooperation
in power supply sector and with the financing of KfW Bank, Kamo,
Vanadzor-2 and Alaverdi-2 substations have already been repaired. An
international tender for reconstruction of Vanadzor-1 substation has
been announced.

http://www.nt.am?shownews=1011708