Wednesday, June 30 2021 16:49

ArmInfo.The legislative package providing for amendments and additions to the law "On public-private partnership" and other related laws in the second and final reading  was approved by the parliament on June 30.

As stated by  acting Minister of Economy of Armenia Vahan Kerobyan,  presenting the initiative, a number of amendments were made to the  document from the first to the second readings, which can be  conditionally divided into three main groups: the first group is of a  technical nature, regarding the clarification of terminology and  definitions in the field. The second group of proposals related to  transitional provisions - the regulations of this bill will not apply  to transactions concluded before December 31, 2021. The third group  of changes, according to Kerobyan, concerns the recommendations of  the International Monetary Fund, within the framework of which the  total amount of contingent liabilities is established, which adds 3%  of GDP to the liabilities existing at the moment. "This is being done  to conduct a more reasonable fiscal policy," he explained.

The acting minister recalled that the law was adopted two years ago,  but it has never "come in handy in life" due to its unviability and  the presence of numerous contradictions and restrictive provisions in  the document. Meanwhile, as Kerobyan pointed out, PPP is one of the  most important components of the country's economic development.

Earlier, on April 13, presenting this legislative package for  discussion, RA Deputy Minister of Economy Avag Avanesyan stated that  the current law does not regulate the provision on procedures for  choosing a private partner. In the meantime, the initiative sets  flexible requirements for private initiative that meet international  standards. The company submitting the proposal must have relevant  experience in this area, submit a feasibility study. In the case of a  private initiative, certain advantages are provided, for example, a  refund of the amount spent if the bidder is not declared a winner. A  competition of one or two rounds is envisaged. "We will try to move  in the direction in which tenders are held on a financial basis," the  deputy minister explained.

Tsovinar Vardanyan, member of the NA Standing Committee on Economic  Issues, stressed in her co-report that the implementation of  public-private partnership programs is also possible on the  initiative of a private owner. She stressed that the presented  program should be in line with the strategy in this area. The  provision of competition in the field was especially noted.