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TRANSIT COST HIKE COULD CREATE PROBLEMS WITH ARMENIA
By M. Alkhazashvili
The Messenger, Georgia
Jan 8 2007
Now that Georgia has agreed to buy Russian gas at the increased
price, the question is will Georgia increase its transit price to
Armenia. Armenia receives Russian gas via Georgia's pipeline. The cost
of Russian natural gas to Armenia did not increase significantly this
year due to a deal that was worked out last year who sold an electric
power station's fifth unit in exchange for cheap natural gas.
But Armenia is still faced with Georgia's transit cost, and if Georgia
increases this fee considerably to help cover the cost of their own
gas price hike, it could have a negative impact on Georgian-Armenian
relations.
Political analyst Soso Tsintsadze believes the government might take
such a step but doesn't agree it's the best solution, "the Georgian
government first is considering alternatives [to an increase in the
transit fee to Armenia] but the possibility is still on the table,"
he told the newspaper Sakartvelos Respublika.
MP Niko Lekishvili chairman of the parliamentary committee of sector
economy and economic policy categorically denies the possibility
of such a decision. He says that Georgia will not take a step which
could hurt its relations with Armenia.
From: Emil Lazarian | Ararat NewsPress
By M. Alkhazashvili
The Messenger, Georgia
Jan 8 2007
Now that Georgia has agreed to buy Russian gas at the increased
price, the question is will Georgia increase its transit price to
Armenia. Armenia receives Russian gas via Georgia's pipeline. The cost
of Russian natural gas to Armenia did not increase significantly this
year due to a deal that was worked out last year who sold an electric
power station's fifth unit in exchange for cheap natural gas.
But Armenia is still faced with Georgia's transit cost, and if Georgia
increases this fee considerably to help cover the cost of their own
gas price hike, it could have a negative impact on Georgian-Armenian
relations.
Political analyst Soso Tsintsadze believes the government might take
such a step but doesn't agree it's the best solution, "the Georgian
government first is considering alternatives [to an increase in the
transit fee to Armenia] but the possibility is still on the table,"
he told the newspaper Sakartvelos Respublika.
MP Niko Lekishvili chairman of the parliamentary committee of sector
economy and economic policy categorically denies the possibility
of such a decision. He says that Georgia will not take a step which
could hurt its relations with Armenia.
From: Emil Lazarian | Ararat NewsPress