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The Meghri Hydropower Plant And The Geographical Appetite Of Azerbai

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  • The Meghri Hydropower Plant And The Geographical Appetite Of Azerbai

    THE MEGHRI HYDROPOWER PLANT AND THE GEOGRAPHICAL APPETITE OF AZERBAIJAN
    by Vahe Davtyan

    arminfo
    Wednesday, November 21, 19:19

    Notwithstanding the geopolitical realities in the region, particularly,
    despite the growing anti-Iranian mood, Armenia does not betray its
    energy partner and decides no implement the earlier agreed large
    international project.

    The construction of a hydropower plant on the river Araks near the
    town of Meghri was launched on November 8. This event was reflected
    in both local and foreign mass media. Various scientific and would-be
    scientific circles gave their comments on the new Iranian-Armenian
    project. The interest in this topic is nothing extraordinary,
    especially given the fact that within the frames of the project Iran
    and Armenia express their intentions to build the two most powerful
    hydropower plants in the South Caucasus: on the Armenian side the
    HPP will be located in Meghri, and on the Iranian side - in Karachilar.

    Moreover, the construction will be carried out simultaneously and this
    will allow optimizing the expenses by approximately 15%. Each of the
    plants will annually generate 793 mln KW/h electric power. The designed
    capacity of the Meghri HPP will be 130 MW. The construction of the
    HPP, which will last 5 years, is estimated at $323 mln. An Iranian
    investment company will provide this amount as a loan, and Armenia
    will redeem the loan by the electric power generated by the HPP.

    Thus, notwithstanding the current geopolitical realities in the region,
    particularly, despite the growing anti-Iranian mood, Armenia does
    not betray its energy partner and decides to implement the earlier
    agreed large international project. The latter is undoubtedly more
    than logical from the point of view of both the economic interest
    and the demonstration of its foreign political stability in the
    rapidly changing force structure design in the region. And though
    more and more opinions are expressed about the presence of the
    Russian factor in this issue (they say the spectacular activation of
    the Armenian-Iranian cooperation is nothing but a part of Russia's
    geopolitical scenario aimed at creating a counterweight to the Western
    mood in the region, as very often parallels are drawn with Russia's
    initiative on construction of the Iran-Pakistan gas pipeline), I
    suppose there is a more impartial explanation for the given phenomenon.

    The thing is that the whole northern part of Iran Armenia is adjacent
    to experiences a serious shortage of electric power. By investing over
    300 mln USD in the project, Iran first and foremost solves the problem
    of energy security of its northern provinces, where the population
    still suffers from the cold every winter. I think the latter should
    open the eyes of a number of Azerbaijani politicians and experts (first
    of all, the representatives of the Center for Strategic Studies under
    the President of Azerbaijan), who wonder why Iran, which suffers a
    severe economic crisis, should invest in such a project. Moreover,
    the specified gentlemen have repeatedly cast doubt on the strategic
    importance of the project, referring to more urgent problems for Iran:
    shortage of medical supplies, financial deficiency, etc.

    Farhad Mamedov, Head of the specified Center for Strategic Studies
    under the President of Azerbaijan, has recently made such a statement.

    He pointed out that "Iran's policy with respect to Azerbaijan is
    not clear" and, as always, connected this issue with the "occupied
    territories": "...if these projects cover the occupied territories
    of Azerbaijan, the Government of Azerbaijan will naturally express
    a point-blank opinion".

    First of all, I would like to urge the Azeri experts to be more
    careful in using the "economic crisis" term as today it has become a
    more philosophical than purely economic concept and poorly fits into
    objective economics.

    Secondly, before questioning the strategic significance of Meghri
    HPP, the Azeri experts should better ask themselves: What can be
    more strategically significant for a state than to ensure its energy
    security? I think there are not many such priorities.

    Perhaps, what the Azeris are actually concerned about is not so
    much the developing Armenian-Iranian relations as Iran's wish to
    ensure the energy security and the economic growth of its northern
    provinces. As you may know, some 10 years ago the ruling Azeri party,
    Yeni Azerbaijan, published a map where Azerbaijan's territory extended
    into the north of Iran. Azerbaijan's "territorial" appetite has never
    been a secret. So, we can say that the Armenian-Iranian project has
    come across that country's geographical ambitions.

    And finally, the very attempt to link any issue to the concept of
    "occupied territories" has long been received with a smile by both
    experts and ordinary people, including many in Azerbaijan.

    Of course, we should not neglect the political aspect. Iran is solving
    specific political tasks when investing money in this project, one
    of them being to find strategic partners to make the international
    sanctions less painful. And Meghri HPP is just the beginning of a
    large-scale cooperation program, envisaging among other projects the
    building of a railway and the laying of an oil pipeline. And even
    though for many these plans are still up in the air, the very fact
    that there are such plans proves that the Armenian-Iranian cooperation
    is gaining momentum. And each such project should be regarded as part
    of this context.




    From: A. Papazian
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