Government subsidy no solution to increased gas tarriffs
13:46 – 21.05.13
The government plan to propose a 30% subsidy to mitigate the impact of
the possible natural gas tariff hike offers no solution to the
problem, according to Gagik Makaryan, the president of the Republican
Union of Employers,
At a news conference on Tuesday, Makaryan said he doesn’t think there
are enough resources in the State Budget to allow for such a measure.
`We must, after all, know that our economy is largely dependent on
gas. We must seek new resources because this hike may have serious
impacts,’ he said.
Considering the decision a shocking blow to businesses, Makaryan noted
it will may raise dissatisfaction among the population, leading
low-profit enterprises to a deadlock.
He called for the authorities’ efforts towards active steps for
overcoming the challenges of Russia.
`We all the time hear our republic is in talks with Russia, but nobody
says what decision has been made in the course of those negotiations.
If Russia has fixed almost the maximum prices, then where is our
mistake that made the country set the maximum standards?’ he asked.
Makaryan added the Iranian natural gas, which is considerably cheaper,
could be good alternative.
`The Yerevan Hydropower Plant is very content with consuming the
Iranian gas,’ he said, stressing the importance of considering both
the political and economic aspects of the problem.
Armenian News – Tert.am
From: Emil Lazarian | Ararat NewsPress
Disclaimer: This article was contributed and translated into English by Emil Lazarian. While we strive for quality, the views and accuracy of the content remain the responsibility of the contributor. Please verify all facts independently before reposting or citing.
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