TODAY THE BILL ABOUT THE PRIVATIZATION OF DISTRIBUTIVE POWER NETWORKS WILL BE DISCUSSED OF AT A SPECIAL SESSION OF THE PARLIAMENT OF ARMENIA

PanARMENIAN.Net - 24.07.2000, MEDIAMAX, YEREVAN. Today at the special session the National Assembly of Armenia will discuss the bill about the privatization of distributive power networks of the country (Yerevan, Northern, Southern and Central Electric systems).

The bill is worked out by the government of Armenia. The World Bank connects the allotment of regular credits to Armenia with the very privatization of the power network. The faction of the Armenian communists and "Right and Unity" have already declared that they will vote against the bill. The faction of the Democratic party, which is part of the "Unity " bloc, is the only one to vote for the privatization. Another faction of the "Unity" - the People's party has not announced yet of its position this matter.

The following companies have a claim on the purchase of the distributive networks - the American "AES Silk Road"; the Swiss "ABB"; the French "Electricite de France" and the Spanish "Union Fenosa".

The minister of energy of Armenia Karen Galustian declared yesterday that while working out this bill the government has taken into consideration all the moot opinions. According to the minister, 51 % of shares will be privatized and 20 % will be sold to one of the international finance organizations. The minimal purchase price of the networks is not specified in the bill, said K. Galustian, the competitive commission reserves the right to stop the privatization process any time without any explanations." We'll resort to this measure in case the price offered by the strategic investor doesn't suit us", stressed the minister.

In April 2000 the parliament of Armenia withdrew the power networks from the state property privatization program, and it was proposed to realize their privatization by means of adopting a separate law. It was declared earlier that 51 % of shares will get the strategic investor, 20 % - the European Bank of Reconstruction, 20 % will keep the state, 5 % will be sold at the stock and 4 % will be distributed among the staff of the power systems. -0-