ENA head says it would fail to fulfill its commitments if its application turned down
16.06.2015,
19:48
Yevgeny Bibin, the head of Armenia’s national Russian-owned Electricity Networks of Armenia (ENA) power distribution company, says the company would fail to meet its commitments to provide individual and corporate customers with safe and stable electricity supplies if the Public Services Regulatory Commission (PSRC) does not allow it to raise the electricity price by 17 drams.
YEREVAN, June 16. / ARKA /. Yevgeny Bibin, the head of Armenia’s national Russian-owned Electricity Networks of Armenia (ENA) power distribution company, says the company would fail to meet its commitments to provide individual and corporate customers with safe and stable electricity supplies if the Public Services Regulatory Commission (PSRC) does not allow it to raise the electricity price by 17 drams.
On May 8 ENA asked PSRC to allow it to raise the price of electricity a third time in less than two years by 17.08 drams per one KWh. The company asked for a permission to increase the daily rate (from 7 am to 11 pm) from the current 41.85 drams per 1 kWh to 58.93 drams and the night rate (from 11 pm to 7:00 am) from the current 31.85 drams per 1 kWh to 48.93 drams.
However, PSRC is expected to allow ENA to raise the daytime price (from 7 am to 11 pm) by 6.93 drams only per one KWh to 48.78 drams and the nighttime price to 38.78 drams (VAT included), when it meets on June 17. The decision, if approved, will come into force from 1 August.
ARKA learned that in a letter Bibin sent to PSRC chairman Robert Nazaryan, Bibin says once the regulator approves its preliminary decision ENA will be forced to immediately contact it ‘in order to discuss if ENA will be able to continue its licensed operation in the current situation.’
Bibin also claims that PSRC’s preliminary decision to allow ENA to raise the price by about 7 drams only may entail serious consequences for the company making it unable to fulfill its commitments.
The intention of ENA to increase the electricity price caused a wave of indignation in the country, including media and parliament members who accuse the Russian-owned company of mismanagement and corruption.
PSRC chairman Robert Nazaryan said ENA’s application envisages huge expenses for renting luxury cars and mansions for top managers of the company.
The Electric Networks of Armenia is a 100% subsidiary of Russian INTER RAO UES. ($ 1 - 475.03 drams). -0-
On May 8 ENA asked PSRC to allow it to raise the price of electricity a third time in less than two years by 17.08 drams per one KWh. The company asked for a permission to increase the daily rate (from 7 am to 11 pm) from the current 41.85 drams per 1 kWh to 58.93 drams and the night rate (from 11 pm to 7:00 am) from the current 31.85 drams per 1 kWh to 48.93 drams.
However, PSRC is expected to allow ENA to raise the daytime price (from 7 am to 11 pm) by 6.93 drams only per one KWh to 48.78 drams and the nighttime price to 38.78 drams (VAT included), when it meets on June 17. The decision, if approved, will come into force from 1 August.
ARKA learned that in a letter Bibin sent to PSRC chairman Robert Nazaryan, Bibin says once the regulator approves its preliminary decision ENA will be forced to immediately contact it ‘in order to discuss if ENA will be able to continue its licensed operation in the current situation.’
Bibin also claims that PSRC’s preliminary decision to allow ENA to raise the price by about 7 drams only may entail serious consequences for the company making it unable to fulfill its commitments.
The intention of ENA to increase the electricity price caused a wave of indignation in the country, including media and parliament members who accuse the Russian-owned company of mismanagement and corruption.
PSRC chairman Robert Nazaryan said ENA’s application envisages huge expenses for renting luxury cars and mansions for top managers of the company.
The Electric Networks of Armenia is a 100% subsidiary of Russian INTER RAO UES. ($ 1 - 475.03 drams). -0-
