Manufacturers Union chief: energy prices may soar after Vorotan sale

Manufacturers Union chief: energy prices may soar after Vorotan sale

PanARMENIAN.Net - The head of the Union of Local Manufacturers is opposed to the sale of Vorotan Cascade of Hydroelectric Power Plants CJSC. Vazgen Safaryan believes that Vorotan, which generates the cheapest energy resources, should be a governmental property.

“With the effective work of the HPP, the sale makes no sense, but rather becomes an economic mistake that might lead to further increase in energy price,” he noted.

Prosperous Armenia faction member, economist Mikael Melkumyan also expressed concern over the issue.

“We’re not questioning the fact that the buyer is a deserving one, our problem is with the sale of Vorotan,” he said.

Commenting on whether the sale is legal, Melkumyan stated that the transaction can be characterized as a takeover, rather than sale, and there’s no legislation on takeovers in Armenia, said.

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