Clarification regarding the process of appointing the Deputy CEO / Director of Economics and Finance of Electric Networks of Armenia CJSC
Regarding the report submitted on November 12 of this year by Tigran Hayrapetyan, lawyer of “Tashir Capital” company—alleging that the Preliminary Head Romanos Petrosyan appointed the Company’s Director of Economics and Finance, A. Shahnazaryan, “with a blatant disregard for procedure”—the Company states that this claim is entirely inconsistent with the facts.
The Company informs that the appointment of Armen Shahnazaryan as the Director of Economics and Finance of ENA CJSC was carried out in strict compliance with the applicable legal regulations, specifically:
The RA Public Services Regulatory Commission’s Decision No. 125-A of 25.05.2016, referenced in the aforementioned report, was adopted as an approval of the criteria for the Company’s senior management, in line with clause 4.36 of License No. 0092 then in effect. In other words, it was a decision confirming criteria previously agreed upon between the Company and the Commission.
However, by Decision No. 747-A of 21.12.2018, the PSRC approved a new edition of the conditions of License No. 0092. According to clause 28 of these conditions, “The management personnel of the Licensee must comply with the criteria established by the Commission.”
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Therefore, under the currently applicable regulatory framework, License No. 0092 no longer requires that the Company coordinate with the Commission the criteria for its management personnel. Instead, it directly stipulates that the criteria for the Company’s management personnel are to be established by the Commission itself.
Based on the above, it should be noted that under the currently valid conditions of License No. 0092, the Commission has not yet adopted a relevant decision establishing the criteria for the Company’s management personnel, and Decision No. 125-A does not correspond to—and does not stem from—the logic of the currently applicable licensing provision. Therefore, it cannot be subject to discussion and/or application.
At the same time, it should be noted that according to the RA Law “On Normative Legal Acts,” any collision between the examined acts is resolved by applying the norms of the normative legal act that entered into force later. In this case, the later act is Decision No. 747-A.
It is also important to note that Armen Shahnazaryan, the Company’s Director of Economics and Finance, has approximately 25 years of professional experience exclusively in the financial sector (Chief of Staff–Chief Financial Officer at the RA Ministry of Finance, Chief of Staff–Chief Financial Officer at the RA Ministry of Economy, CEO–Chairman of the Executive Board of an insurance company, etc.).
՛՛ENA՛՛ CJSC
Public and Corporate Relations Department
