ArmRusgasprom Cjsc Proposes Raising Natural Gas Tariffs In Armenia

ARMRUSGASPROM CJSC PROPOSES RAISING NATURAL GAS TARIFFS IN ARMENIA

ArmInfo
2009-02-10 12:26:00

ArmInfo. ArmRusgasprom cjsc has applied to the Public Services
Regulatory Commission of Armenia for revision of the tariffs for
natural gas for internal consumers in connection with the upcoming
rise of prices for import of natural gas.

The company proposes raising the tariff for the consumers using
up to 10,000 c/m of natural gas monthly (mainly the population)
from the present 84,000 drams per 1,000 c/m inclusive of VAT to
99,000 thousand drams inclusive of VAT (a 17.8% growth). The tariff
for commercial consumers using over 10,000 c/m of gas monthly, the
company proposes raising the present tariff of $153.26 to $230,60 per
1,000 c/m inclusive of VAT (50.4% growth). The company presents the
following formula: P=230.60 x E, where P is the tariff per month,
E is the exchange rate of the Armenian drams and the US dollar at
foreign exchange markets published by the Armenian Central Bank as
of the 25th of every month.

In compliance with an agreement with Gazprom cjsc, starting April 1
2009 Armenia will purchase natural gas from Russia for $154 per 1,000
cubic meters as against the present $110. ArmRusgasprom cjsc is the
exclusive supplier of natural gas to Armenia. Gazprom holds a 75.55
percent stake, the Government of Armenia – a 20.00 percent stake,
and Itera Company – a 4.44 percent stake in the company.