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Tbilisi: Railway privatization plan meets resistance in parliament

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  • Tbilisi: Railway privatization plan meets resistance in parliament

    The Messenger, Georgia
    Feb 15 2008


    Railway privatization plan meets resistance in parliament

    By M. Alkhazashvili
    (Translated by Diana Dundua)
    Friday, February 15

    MP Lado Papava warned against privatizing state rail company Georgian
    Railways at a February 12 parliamentary session.

    `The government should consider the current regional situation and I
    ask them not to privatize the railway,' the newspaper Akhali Taoba
    quoted him as saying.

    He emphasized that Armenian Railways is being transferred to Russian
    management, and warned that the recent founding of the South
    Caucasian Railways company, which is fully owned by Russian Railways
    and will manage Armenian Railways, is an ominous sign.

    `Looking at this agreement it is clear who wants to capture Georgia's
    strategic asset, and this would damage the country too much,' the
    newspaper Sakartvelos Respublika quoted him as saying.

    Parliamentary speaker Nino Burjanadze responded by saying parliament
    will keep a watchful eye on any bids in the Georgian Railways tender.


    `The appropriate committees will conduct active consultations with
    the government on this issue, and parliament must agree to any
    decision,' Burjanadze said, according to the newspaper Akhali Taoba.

    The Ministry of Economic Development is currently considering five
    bids in a tender for the state-owned Georgian Railways. Each bidding
    company was required to submit a development plan for the railway and
    specify how much capital they propose to invest; however, the
    ministry says it is not yet decided whether, or to what degree, the
    railway will be privatized.
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