ArmInfo. The current methodology of gas and electricity tariffs calculation is irrelevant, newly appointed Minister of Energy and Natural Resources Ashot Manukyan told journalists on September 22.
According to him the running methodology was approved when the country was facing serious problems and non-payments reached high percents. Consequently, at that moment the methodology of calculating tariffs was justified for that period, the Minister noted. The new approach according to Manukyan should solve two main tasks-to ensure safe and uninterrupted work of the system, solve certain social tasks and boost entrepreneurship. At the same time the Minister was not able to tell concrete dates when the new proposals will be presented.
To recall, Armenian Prime Minister Karen Karapetyan said at the Government's sitting on September 15 that the gas and electricity tariff policy will be revised in Armenia. "I suggest that the Public Services Regulatory Commission, Ministry of Energy and Natural Resources, Ministry of Labor and Social Issues should jointly discuss and submit proposals on revision of the gas and electricity tariff policy," Karapetyan said, noting the matter concerns possible reduction of the tariffs for vulnerable public strata. However, this will happen at the expense of other consumers. Tariff policy revision will also cover agriculture and processing industry. These measures will not be implemented with the state budget funds.
According to the watchdog's decision adopted on June 24, both the day and night prices were reduced by 2.58 drams to 46.20drams (from 48.78drams) and 36.20drams (from 38.78drams) respectively. The decision came into force on August 1. For the consumers using 35KV electric power, the price will be reduced from 39,78 drams to 37.20 drams for daytime and from 35.78 drams to 33.20 drams for nighttime. The consumers using 110KV electric power (mostly industrial enterprises), the daytime price will be reduced from 37.27 dram to 34.70 drams and the nighttime one - from 33.28 drams to 30.70 drams. On May 31, the Public Services Regulatory Commission of Armenia (PSRC) made decision on changes in the gas tariffs. The new terms will come into force on 1 July 2016. The gas tariff for the Armenian consumers will decline by 9.3 AMD per 1 cu m. Tariffs for households consuming up to 10 thsd cu m of gas per month was reduced from 156 to 146.7 AMD per 1 cu m. The gas tariff for the subscribers consuming over 10 thsd cu m of gas reduced from 276.98 to 257.56 USD in AMD equivalent (at the AMD/USD exchange rate as of the 25th day of the previous month. The tariff includes VAT). However, gas and electricity tariffs remain the highest in the region.