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Energy Security Problems of Armenia Debated
National Assembly of RA, Armenia
March 17 2006
On March 16 at NA parliamentary hearings were held on the theme "RA
Energy Security" by NA Standing Committee on Defence, National Security
and Internal Affairs. Members of parliament, MPs, those responsible
for respective departments and representatives of international and
public organizations attended the hearings.
Mher Shahgeldyan, Chairman of NA Standing Committee on Defence,
National Security and Internal Affairs, mentioned that the energy
development, as well as ensuring regular vital activity, are the main
problems of RA national security. According to him, today energy
security and development of the sphere are problems directed to
Armenia's future, taking into account the regional developments, RA
geographical location, as well as the expansion of high technologies
and the imperative need for the future development of our country. He
believes that the public is greatly interested in the problem, and
politicians and statesmen, representatives of public organizations
and our citizens are eager to see the existing vision clearly and
distinctly. It was also mentioned that the problem has to do with
every citizen's daily life. The public interest becomes pressing and
acute on account of recent fluctuations in gas price, as well as the
problems of state control on nuclear energy debated at the National
Assembly. Mr. Shahgeldyan spoke on the regular activity of energy
system, ways of energy carriers' regular supply and prevision of
energy carriers' sources. It was noted that they try to create and
form a concept on RA national security, which will become the most
important document on strategic planning for the coming years.
Artur Baghdasaryan, NA President, highlighted the organization of
hearings and mentioned that a unified concept on the national security
is currently developed, and RA energy security is its component
part. Energy security problems are of key political importance in the
globalized world and in the complicated and difficult region, and we
are to display a serious state approach towards these problems. He
believes that the hearings will promote the debate of the problems
accumulated in the system, at least, and perhaps to giving solutions
through suggestions and will promote the endorsement of the drafts,
which are currently in official circulation. The NA President spoke
on the necessity of developing a concept on RA national security,
mentioning that it should include both tactics and perspective
strategic approaches. He particularly said: "The increase in Russian
gas caused great concern not only among politicians but also in the
society and among factories, and we still expect that Russia as a
friendly country for Armenia should certainly try to find mutually
accepted solutions through negotiations, as the increase in gas price
in Armenia means serious social difficulties for the population, rise
in product and service prices, serious complications concerning economy
and our future developments. In this situation we should naturally
try to find ways out, and I hope that some solutions will certainly
be found, enabling the population to avoid the rise in prices. The
state in its turn should take appropriate steps to protect both the
population and managers. I bring this example not only on account
that it is closely connected with the problem currently debated but
because it is really of great importance for us to have a concept on
the national security, as we can't avoid energy carriers' rises in
a few years.
But this does not mean that the country and the society should appear
defenseless, on the contrary, we should try hard so as in future
we are secured against unfavourable developments of this or that
kind that can occur in the sphere of energy. That is why I believe
that the concept that can be developed and also submitted to the
society's judgment is of great public and political significance
and will allow keeping the energy strategic problems of Armenia at
the center of foreseeable developments. I would like to consider the
government's endorsement of RA energy development strategy after long
debates a positive step: this is a document of great importance on
RA energy development vision and imperatives, but I think that at
least from the national security viewpoint we should pay much more
serious attention to the energy security. Today, it is difficult to
underestimate the economic significance of the Iran-Armenia pipeline
but we should understand that we should have scenarios for at least
a few developments on the energy sphere. And here the transparency
and publicity of the government's policy in the energy sphere are
very important." Touching upon the problems on the privatization of
the nuclear energy, the NA President noted that the principles of
withdrawing from the state monopoly caused serious debates at the
National Assembly. According to him, it is necessary to seriously
debate and understand what the state intervention in the energy
sphere leads to, what kind of state intervention and state control
can be applied. These are problems that should be seriously debated
and solved in RA energy development strategy, in the concept on the
energy security.
Armen Movsisyan, Energy Minister, spoke on the theme "RA Energy
Security and Development Strategy." He mentioned that the principles
of state policy in the sphere of energy set out in the law on Energy
aim at promoting RA sustainable economic development, at providing
security in the sphere of energy, stimulating the energy independence
of the republic and so on. The minister informed that hydroelectric
power stations smaller than 38 are built in the republic, that it
is envisaged to raise them to 260mw, which will annually provide
500 million kw/h energy. He highlighted the construction of the
Iran-Armenia pipeline, which will enable Armenia to annually import
2bn 800m cubic metre gas under the present circumstances, when
Armenia's home demand is equivalent to 1bn 700 m cubic metre gas. In
order to create a minimum cost from the maximum with the country's
production power, a rise in the share of Metsamor's nuclear power
plant is necessary. It was informed that in 2005 the nuclear power
plant had a record rate of product: it produced 2bn 700m kw/h energy.
The Energy Minister touched upon the problem of making use of thermal
power plants' potentials and mentioned that the stations need to be
reconstructed. Reminding that Metsamor's exploitation power ends
in 2016, Armen Movsisyan highlighted the substitute of the former
nuclear power plant for a new one, meeting modern requirements.
Touching upon the rise in gas prices, he mentioned that it creates
serious consequences for the population and economy, but we should
realize that there is no 54 dollar price for gas in the world.
During the hearings MPs, the representatives of international and
public organizations, interested people expressed their viewpoints.
Samvel Balasanyan, Head of the Country of Law faction, believes that
the energy sphere is of strategic significance for our country and
is connected with the country's security and economic development.
Alexander Iskandaryan, Head of the Caucasus Media Institute,
touched upon the problems on regional and local energy security,
Astghine Pasoyan, Program Manager, Alliance to Save Energy, Armenia,
spoke on the energy saving potential of Armenia's economy and the
developments of national policy, professor Zohrab Melikyan, Chief
of the Department of Heat-Gas Supply and Ventilation in the Yerevan
State University of Architecture and Construction, presented the ways
of the development of Armenia's gas supply system, Levon Eghiazaryan,
docent, General Director of the Energy Research Institute, touched
upon the problems of energy supply.
National Assembly of RA, Armenia
March 17 2006
On March 16 at NA parliamentary hearings were held on the theme "RA
Energy Security" by NA Standing Committee on Defence, National Security
and Internal Affairs. Members of parliament, MPs, those responsible
for respective departments and representatives of international and
public organizations attended the hearings.
Mher Shahgeldyan, Chairman of NA Standing Committee on Defence,
National Security and Internal Affairs, mentioned that the energy
development, as well as ensuring regular vital activity, are the main
problems of RA national security. According to him, today energy
security and development of the sphere are problems directed to
Armenia's future, taking into account the regional developments, RA
geographical location, as well as the expansion of high technologies
and the imperative need for the future development of our country. He
believes that the public is greatly interested in the problem, and
politicians and statesmen, representatives of public organizations
and our citizens are eager to see the existing vision clearly and
distinctly. It was also mentioned that the problem has to do with
every citizen's daily life. The public interest becomes pressing and
acute on account of recent fluctuations in gas price, as well as the
problems of state control on nuclear energy debated at the National
Assembly. Mr. Shahgeldyan spoke on the regular activity of energy
system, ways of energy carriers' regular supply and prevision of
energy carriers' sources. It was noted that they try to create and
form a concept on RA national security, which will become the most
important document on strategic planning for the coming years.
Artur Baghdasaryan, NA President, highlighted the organization of
hearings and mentioned that a unified concept on the national security
is currently developed, and RA energy security is its component
part. Energy security problems are of key political importance in the
globalized world and in the complicated and difficult region, and we
are to display a serious state approach towards these problems. He
believes that the hearings will promote the debate of the problems
accumulated in the system, at least, and perhaps to giving solutions
through suggestions and will promote the endorsement of the drafts,
which are currently in official circulation. The NA President spoke
on the necessity of developing a concept on RA national security,
mentioning that it should include both tactics and perspective
strategic approaches. He particularly said: "The increase in Russian
gas caused great concern not only among politicians but also in the
society and among factories, and we still expect that Russia as a
friendly country for Armenia should certainly try to find mutually
accepted solutions through negotiations, as the increase in gas price
in Armenia means serious social difficulties for the population, rise
in product and service prices, serious complications concerning economy
and our future developments. In this situation we should naturally
try to find ways out, and I hope that some solutions will certainly
be found, enabling the population to avoid the rise in prices. The
state in its turn should take appropriate steps to protect both the
population and managers. I bring this example not only on account
that it is closely connected with the problem currently debated but
because it is really of great importance for us to have a concept on
the national security, as we can't avoid energy carriers' rises in
a few years.
But this does not mean that the country and the society should appear
defenseless, on the contrary, we should try hard so as in future
we are secured against unfavourable developments of this or that
kind that can occur in the sphere of energy. That is why I believe
that the concept that can be developed and also submitted to the
society's judgment is of great public and political significance
and will allow keeping the energy strategic problems of Armenia at
the center of foreseeable developments. I would like to consider the
government's endorsement of RA energy development strategy after long
debates a positive step: this is a document of great importance on
RA energy development vision and imperatives, but I think that at
least from the national security viewpoint we should pay much more
serious attention to the energy security. Today, it is difficult to
underestimate the economic significance of the Iran-Armenia pipeline
but we should understand that we should have scenarios for at least
a few developments on the energy sphere. And here the transparency
and publicity of the government's policy in the energy sphere are
very important." Touching upon the problems on the privatization of
the nuclear energy, the NA President noted that the principles of
withdrawing from the state monopoly caused serious debates at the
National Assembly. According to him, it is necessary to seriously
debate and understand what the state intervention in the energy
sphere leads to, what kind of state intervention and state control
can be applied. These are problems that should be seriously debated
and solved in RA energy development strategy, in the concept on the
energy security.
Armen Movsisyan, Energy Minister, spoke on the theme "RA Energy
Security and Development Strategy." He mentioned that the principles
of state policy in the sphere of energy set out in the law on Energy
aim at promoting RA sustainable economic development, at providing
security in the sphere of energy, stimulating the energy independence
of the republic and so on. The minister informed that hydroelectric
power stations smaller than 38 are built in the republic, that it
is envisaged to raise them to 260mw, which will annually provide
500 million kw/h energy. He highlighted the construction of the
Iran-Armenia pipeline, which will enable Armenia to annually import
2bn 800m cubic metre gas under the present circumstances, when
Armenia's home demand is equivalent to 1bn 700 m cubic metre gas. In
order to create a minimum cost from the maximum with the country's
production power, a rise in the share of Metsamor's nuclear power
plant is necessary. It was informed that in 2005 the nuclear power
plant had a record rate of product: it produced 2bn 700m kw/h energy.
The Energy Minister touched upon the problem of making use of thermal
power plants' potentials and mentioned that the stations need to be
reconstructed. Reminding that Metsamor's exploitation power ends
in 2016, Armen Movsisyan highlighted the substitute of the former
nuclear power plant for a new one, meeting modern requirements.
Touching upon the rise in gas prices, he mentioned that it creates
serious consequences for the population and economy, but we should
realize that there is no 54 dollar price for gas in the world.
During the hearings MPs, the representatives of international and
public organizations, interested people expressed their viewpoints.
Samvel Balasanyan, Head of the Country of Law faction, believes that
the energy sphere is of strategic significance for our country and
is connected with the country's security and economic development.
Alexander Iskandaryan, Head of the Caucasus Media Institute,
touched upon the problems on regional and local energy security,
Astghine Pasoyan, Program Manager, Alliance to Save Energy, Armenia,
spoke on the energy saving potential of Armenia's economy and the
developments of national policy, professor Zohrab Melikyan, Chief
of the Department of Heat-Gas Supply and Ventilation in the Yerevan
State University of Architecture and Construction, presented the ways
of the development of Armenia's gas supply system, Levon Eghiazaryan,
docent, General Director of the Energy Research Institute, touched
upon the problems of energy supply.