Armenia, Iran could soon enhance energy swap deal

Armenian Minister of Territorial Administration and Infrastructures Gnel Sanosyan doesn’t rule out that Armenia and Iran could soon increase the volumes of the gas for electricity swap deal. 

The gas for electricity agreement between Armenia and Iran has been extended until 2030 and enables Armenia to import greater volumes of natural gas and export more electricity.

“I believe that in terms of the legal documentation we have implemented the important phase and soon, as required, according to needs and also infrastructures, we will be able to use that opportunity. New power transmission lines are under construction in order to be able to export greater volumes of electricity to Iran. Both sides have the desire to increase the volumes, and the changes will be visible in various stages,” Sanosyan told Armenpress.

The minister also spoke about the involvement of Iranian companies in construction projects in Armenia. He said that the bigger the project the harder it is to find contractors.

Iran, having highly developed construction firms and being Armenia’s neighbor, can have participation in construction programs in Armenia, and it has done so in some cases.

“I think this is a mutually beneficial process. We need a construction company, and they have the corresponding construction company, we are neighbors geographically, and it is easy to involve them in this work,” Sanosyan said.

The minister confirmed that Iran is interested in the reservoir construction projects in Armenia.

Armenia plans to built 15 new reservoirs and 3 projects will soon be put for bidding.

An Iranian company that won the tender to construct the Kajaran-Agarak section of the North-South road is now transporting equipment and will launch the construction soon.