Director General: ENA JSC networks losses to be reduced down to 8% after 2020

ArmInfo. After the year of  2020 the losses in the ENA network  will be reduced down to 8%,  stated Karen Karapetyan, the Director General of the Company.

According to Karapetyan, until the year of 2020 the losses will be  decreased to 9%. And reaching this result will be secured regardless  the results of the Company's performance. "We are confident that in  the end of the  5- year duration  Investment project  we could reach  the indicator set by the Regulator," the Director General mentioned.  At that, the director went on, all the activities of the company are  aimed at the power supply tariff decrease, which will be  preconditioned also by staff reduction and decrease of operation  expenses for 10%. The installation of the Power Registration  Automated System will also play its role, having  290 000 additional  subscribers connected  until 2020. Such systems are already installed  in some areas of Yerevan, and will be launched within nearest months.  The installation of the new system will allow to subscribers to plan  own expenses. It is planned that the data on energy used will be  transferred to smart phones. Within this purpose the Company actively  cooperates with IT occupied entities.  Earlier Director General  stated, that  1% losses decrease gives a Company an additional profit  of AMD 1,3 bln. Due to this reason the Company is interested in  reduction of tariffs. To remind, earlier  the PSRC (Public Services  Regulating Commission) estimated the tolerate evel of losses at 11,  02%. 

On 30 Sept 2015, Tashir Group headed by Russian businessman of  Armenian origin Samvel Karapetyan and Inter RAO signed an agreement  of purchase and sale of electric power assets of the Russian energy  holding in Armenia - ENA CJSC and Hrazdan TPP. The reason of the sale  was the public discontent about the ungrounded growth in electricity  prices by approximately 16.7% (6.93 AMD per 1 kWh). The Public  Services Regulatory Commission's (PSRC) decision to raise the tariff  sparked protests and the Armenian authorities agreed to audit both  the expediency of PSRC's decision to raise the tariff and the  activities of the Electric Networks. In addition, the authorities and  Tashir Group took a decision to subsidize on a parity basis the  raised tariff for the households and SMEs until the audit is  completed. Since August 1, 2015, the daytime tariff for households  (from 7 am till 11 pm) has been 48.78 AMD per 1kWh, while the  nighttime tariff has been 38.78 AMD per 1 kWh.