ArmInfo.Minister of Territorial Administration and Infrastructures of Armenia (MTAI) Gnel Sanosyan discussed a new agreement on a gas-for-electricity program with Iranian Petroleum Minister Javad Owji, within the framework of his working visit to the Islamic Republic of Iran.
According to the press service of MTAI, during the meeting Sanosyan presented proposals in connection with the renegotiation of the agreement. The contract will be concluded when the work under the contract is completed and the Iranian side responds to the submitted proposals.
Issues related to oil refining, bitumen, bitumen price were discussed. Minister Sanosyan noted that active road construction work is underway in Armenia, however, changes related to the bitumen price have caused certain difficulties.
Earlier, at the end of March this year, Iranian Petroleum Minister Javad Owji and Adviser to the Prime Minister of Armenia on bilateral cooperation in the field of energy Artashes Tumanyan discussed cooperation in the field of energy. According to Mehr, with reference to the Armenian media, Yerevan and Tehran agreed to increase Iranian gas exports to Armenia. Now Russia supplies about 80 percent of gas to Armenia. Back in September 2021, Deputy Prime Minister Mher Grigoryan stated that Yerevan was considering the possibility of importing gas from other countries, but this decision should be made based on infrastructure capabilities. "This approach is being implemented within the framework of a swap deal (SWAP) with Iran," the Depty Premier explained.
In 2004, Tehran and Yerevan signed a 20-year gas-for-electricity barter agreement under which Iran's exported gas would be consumed by power plants in Armenia, and in return Iran would import electricity from Armenia. The Republic of Armenia has been importing gas from Iran since mid-2009. Armenia is carrying out a barter deal with Iran "gas in exchange for electricity" at the rate of 1 cubic meter of blue fuel from Iran in exchange for 3 kWh of electricity from Armenia. Gas supplies are carried out via the Iran- Armenia gas pipeline, and electricity from Armenia is sent to Iran via two power lines.
