YEREVAN (A.W.)—The Russian-owned firm Electric Networks of Armenia (ENA) was fined 60 million drams ($126,000 USD) this week by Armenia’s Public Services Regulatory Commission (PSRC) for violating consumer rights. The ENA had made demands for advanced payments earlier in 2015 from residents of newly built houses and apartment buildings needing access to electricity, according to RFE/RL’s Armenian service (Azatutyun.am).
The ruling against the Russian firm comes after weeks of street protests in Yerevan and across Armenia against a 17-percent electricity tariff hike. On June 17, PSRC unanimously voted to raise the energy prices in the country. Thousands of people gathered in Yerevan’s Liberty Square on the evening of June 19 to protest the government’s adoption of the rate increase.
What was initially billed as a march in the city center against the price hike turned into an unexpected mass sit-in occupation known as the “No to Plunder”—and later the “Electric Yerevan”—movement. After a lengthy occupation of Yerevan’s Baghramyan Avenue, police moved in on protesters who still remained on July 6, unblocking the road and arresting more than 40 activists in the process.
On June 27, President Serge Sarkisian announced that his government would subsidize the energy tariffs until an international audit of the ENA was carried out to determine if the company’s massive losses were the result of internal corruption.
Sarkisian has since hinted that the government could nationalize the ENA or help its Russian parent company, Inter RAO, sell it to another firm. Inter RAO, however, has denied Russian press reports that it is holding talks with potential buyers, reports Azatutyun.am.
As suggested 2 weeks earlier don’t you think to buy this company
reorganize sell shares to the public with 10% dividend per year on net
profit everybody will be satisfied and electric prices stabilized ?
This will be a first move to modernize Armenian economy.
Great move on the part of the Armenian Government.
Hopefully, there will be serious monitoring by the Government that the next group takes over the Electric Firm is transparent on a regular basis, and not corrupt to start with. No matter where the group comes from.
Dermelkonian’s comment makes sense. Still. Transparency will be a must.