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“Should Armenia transit the Russian gas, it would be cheaper for us too”

April 07,2015 14:43

“Now, I think, negotiation are underway for the Russian gas price in Armenia be as much as they give it to Belarus – 168 dollars for 1,000 cubic meters”, said economist Vazgen Safaryan in the conversation with Aravot.am, in response to our question of why the gas price is not getting cheaper for Armenia in the event when the Russian gas is cheaper for the Eurasian Economic Union non-member countries which have even signed the Association Agreement. The residents of Armenia pay 156 AMD for 1 cubic meter of gas, for example, Georgia, which is not a member of the EaEU pays 110 AMD. In Ukraine, which is Russia’s military opponent, pays 160 AMD for one cubic meter of gas, while the gas for heating the apartments is cheaper – 73 AMD for 1 cubic meter of gas.

To our observation that on December 2, 2013, when the gas agreement was signed between Armenia and Russia, the parties announced that the price is preferential, since Armenia is a member of the Eurasian Economic Union and is Russia’s ally, in addition, the gas agreement envisages that the gas prices will rise over the next 5 years, however, a tendency for the increase seems to be notices, Mr. Safaryan hopes that the negotiations will have a positive outcome and Armenia will receive the gas with a price as Belarus does, which in his opinion is not a bad price. In his words, “gas is not cheap in Georgia, simply Georgia transits the Russian gas, therefore, it comes cheaper for them. Should Armenia also transits gas, it would be cheaper for us too.”

Vazgen Safaryan does not think that Russia is selling cheaper gas to Ukraine, as 350 dollars for 1000 cubic meters, according to the economist, is an expensive price. In his words, it is another matter that Ukraine provides gas to its residents with much affordable price. “It might be cheaper to the residents because the Russian gas transits to Europe through the territory of Ukraine, and they charge money for being a transit country.”

Lusine BUDAGHYAN

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