‘Turkey Silent On Terms Of Power Supplies From Armenia’


July 14 2010

‘Large volume of preparation works has been held in Turkey.’

Turkish side has not declared the new terms of start of power supply
from Armenia, but the negotiation process continues, said Armenian
Minister of Energy and Natural Resources Armen Movisyan.

The agreement on the establishment of direct power supplies from
Armenia to Turkey was signed between Armenian Ministry of Energy and
Natural Resources, High-voltage power grids and Belgian UNIT importing
and distribution high voltage power in Turkey on 4 September 2008.

“We had a contract with the Turkish companies under which the power
supplies will start with 1.5bn KW/H a year with the further increase.

Our potential has grown due to availability of new capacities”,
Movsisyan told a news conference on Wednesday.

By a preliminary agreement, Armenia will start supplies from 1.5bn
KW/Hs a year raising it to 3.5bn KW/Hs a year in the coming years. The
cost of power was expected to be $57 per 1,000 KW/Hs of power but the
final price will be corrected due to changes in price of gas and in
connection with the final terms of supplies.

The minister explained that “there is a political problem from the
Turkish side which today hampers the start of the process. “Anyway,
the negotiations are on the hot point and our colleagues hope this
will come true one day”, he said.

The minister added that a large volume of preparation works has been
held in Turkey.

Movsisyan told earlier that only power generated by Armenian thermal
power centrals will be exported to Turkey which is quite competitive
in price and does not have any harm for internal demand.

From: A. Papazian