The appreciation of the dram against the dollar can also have a positive effect on the electricity tariff. The Public Service Regulatory Committee is investigating this case.
Ashot Ulikhanyan (Head of Tariff Policy Department of PSRC): We started the actual process again on September 15, we started the review process on our own initiative, we will summarize the results and present them for discussion at the committee session by the end of the year, and the new tariffs of the system companies will come into force on February 1.
Ashot Ulikhanyan: The effect of exchange rate definitely has a positive effect, and this positive effect will definitely be considered in the tariff calculations.
According to experts, it is logical that when there are changes in tariffs during dram devaluation, then the opposite should be expected now. 1/3 of electricity production in Armenia is based on raw gas.
How the developments will proceed also depends on the volume of production of thermal power plants, and repayments of loans taken under the guarantee of the state, as Public Services Regulatory Committee notes. According to the current tariff calculations, the dollar exchange rate is 477 AMD, while at the moment, according to the data of the Central Bank, 1 dollar is 404 AMD.
Author – Nikolay Avetisyan
October 20, 2022 at 10:52