Economist: They looted Electric Networks of Armenia (video)
Economist Vardan Bostanjyan welcomes the sale of the Electric Networks of Armenia to Tashir Group Company. It is one of the most important utilities in Armenia. The audit ordered at the ENA loses its meaning as no one will bear responsibility for the company’s debts,” Mr Bostanjyan told reporters today. The economist says the rise in electricity prices was for predictable for him as the network did not exist as such. “Just imagine you live in an apartment where the electric circuit is open and there are children in the family. The whole system is fraught with dangers. Now imagine the same model for a country like Armenia, where power grids’ equipment is outdated and old,” he said. The economist says the entire system needs to be upgraded and modernized. “The company needed money to modernize its equipment which led to the increase in electricity tariffs. The rates were to be raised whether we wanted it or not, whether an audit was conducted or not.” “Everybody is speaking about the company’s mismanagement. If you want to hear my opinion I would say that they looted the company and now they decided to impose the entire burden on the poor Tashir Company,” he said. Thought it has been announced that 200-300 million dollars need to be invested in the company to save it from the collapse, the economist believes that at least $500 000 is needed to overhaul the company. The Public Services Regulatory Commission (PSRC) announced last week that a deal had been struck with Russia’s Inter RAO group to sell Armenian power grid to Samvel Karapetian’s Tashir Group which operates in Russia
