YEREVAN, October 25. / ARKA /. Construction of a hydraulic power plant on the border river of Arax separating Armenia and Iran near the Armenian town of Meghri will kick off in 10-15 days, Armenia’s energy and natural resources minister Armen Movsisyan said today after the regular session of Armenia-Iran intergovernmental commission on economic cooperation in Yerevan.
"At the proposal of the Iranian side we will kick of the construction of the HPP in the next 10-15 days by a special ceremony,” Movsisyan said.
Iranian energy minister Majd Namju, who cochairs the commission together with Armen Movsisyan, said all the problems related to the construction of the hydroelectric power station have been eliminated.
"The Iranian government has made a relevant decision to raise the threshold of funding. There remain some minor problems to be addressed. We hope that in the near future we will see the start of construction ", the Iranian minister said.
According to the agreement, the hydroelectric power plant, which will straddle the border river, will have the capacity to produce 130 megawatts (MW) of electricity. Construction of the power plant will begin simultaneously in Armenia’s Meghri and Iran's Qarachilar regions.
Each of the stations will annually produce 793 million kW / h of electricity. The construction will last for five years and is estimated to cost $323 million , which will be invested by Iranian investment company.
After the facility is built it will be operated for 15 years by the Iranian Farat-Sepasat. The electricity will be supplied to Iran to pay off the Iranian investment. After 15 years of operation, the hydropower will become the property of Armenia.
Armenian-Iranian intergovernmental commission was established in 1992 in parallel with the formation of diplomatic relations between the two countries. -0-