Russia Asked Defense Ministry To Sell Generating Unit

RUSSIA ASKED DEFENSE MINISTRY TO SELL GENERATING UNIT
Hakob Badalyan

Lragir.am
15 June 06

Interesting details on the sale of the fifth generating unit of
the Thermal Power Plant in Hrazdan are becoming known. The prime
minister of Armenia explained June 14 why the government of Armenia
had transferred the generating unit from the balance of the Ministry
of Energy to the Ministry of Defense before selling it. The 5th
generating unit was sold for 250 million dollars, and since, in fact,
the Ministry of Defense sells it, the money goes to the Ministry of
Defense. The prime minister told news reporters that this transfer was
intended to facilitate the deal. "It was a more convenient way," said
the prime minister. Besides he said that the Russian party had asked.

It is interesting whether it was convenient to sell the generating unit
via the Ministry of Defense for Armenia too. It is also interesting
who had asked Russia to solicit the government of Armenia. Minister
of Defense Serge Sargsyan might know this because he was the flagman
of the deal on the generating unit, he worked at the front line to
manage the sale. Serge Sargsyan has vowed to give forceful details on
the expediency of the sale of the generating unit. Perhaps he does
not have time, he is too busy. Therefore we have to make subjective
judgments about the goal and content of this patriotic deal. 250
million dollars from the sale of the generating unit will be spent
as to subsidize gas consumed by the population.

Hence, does it matter much the balance of which government agency
this 250 million dollars would be transferred to be spent later
for subsidies?

It is clear that this might be a problem of strategic importance
for the country’s security. However, it is another important matter
of national security when they do not explain to the public why the
Ministry of Defense should subsidize gas. However, it is possible
that the millions for subsidizing will be other millions than the
money from the sale of the generating unit. After all, the public
is not interested in the source of funds, they are interested in the
fact of subsidizing only. Nevertheless, it needs to be found out what
is going to happen with the 250 million dollars of the generating
unit. Even if these 250 million dollars are nevertheless spent on
subsidizing gas, a clear answer must be given to the question why the
company of the energy sector is sold by the Ministry of Defense and
the money is transferred to the balance of the ministry. Moreover,
Armenia has sold other big companies of the energy sector to Russia,
but there was no need to transfer them to the Ministry of Defense,
and Russia has never made such a request. In this context, it is
interesting that formerly the companies of the energy sector were
transferred to Russia to repay the debt of the government. In other
words, unlike the fifth generating unit, the Russians did not give
us money then, especially 250 million dollars.