ArmInfo.The Government of Armenia made a decision on exemption of High Voltage Electric Networks CJSC according to the results of 2018 from dividends payable to the state budget in the amount of 1,240,547.0 thousand drams. This is stated in the certificate - justification of the draft decision of the Government of the Republic of Armenia.
According to the report, the government obliges the company to ensure an increase in the authorized capital by the abovementioned amount by increasing the nominal value of shares in the prescribed manner.
However, as stated in the source, after the decision comes into force, in the manner prescribed by law, the Minister of Territorial Administration and Infrastructure must ensure a change in the authorized capital, and state registration in the charter.
Based on the considerations of effective management of the company's cash flows and ensuring the company's business continuity, the RA Ministry of Finance expresses its readiness to discuss the issue of deferring the payment of the remaining part of the obligation to pay dividends to the RA state budget for a certain period.
To note, the state-owned CJSC High-Voltage Electric Networks was created on the basis of a government decree of July 20, 1998. The company has 13 substations with a capacity of 220 kV and 2 substations of 110 kV. RA energy system through Agarak switching point 220kV is connected to the Iranian energy system through the 220 kV ''Agar - 1.2'' interstate lines, and through the overhead lines- Alaverdi (220 kV), "Lalwar" and "Ninotsminda" (110 kV) with the power system of the Republic of Georgia. In the framework of the Armenian-German intergovernmental negotiations, the Government of Germany provided funds for a loan of up to EUR 20.4 million for the Armenia-Georgia Power Transmission Line program. As a result of intergovernmental negotiations in 2012 the German government has expressed willingness to provide loans even up to 75.0 million euros at reduced interest rates. The grant fund of the Neighborhood Policy Financing Facility of the Council of Europe will also allocate an amount of 10.0 million euros. These funds will be used for the construction of the Armenia-Georgia power transmission line, high-voltage direct current conversion stations and substations of 500/400 kV. The total cost of the program according to preliminary estimates of the consulting company FICHTNER is approximately 326.9 million euros.
The Asian Development Bank (ADB) and the European Bank for Reconstruction and Development (EBRD) are assisting the Government of the Republic of Armenia in improving its ability to transfer electricity and increasing the reliability of energy supply to consumers, in parallel with the energy systems of neighboring countries. For this purpose, within the framework of the Electricity Transmission Network Restoration Program financed by ADB and EBRD, 4 substations of High-Voltage Power Grids CJSC should be reconstructed based on the complete completion of work, as the electrical equipment of the substations is worn out. The program provides for reconstruction work in 2 stages: the first stage envisages the reconstruction of the Agarak-2 and Shinuhayr substations financed by ADB, the second stage envisages the reconstruction of the Yeghegnadzor and Ararat-2 substations financed by the EBRD.