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Turkey, Armenia Sign Symbolic Power Supply Agreement

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  • Turkey, Armenia Sign Symbolic Power Supply Agreement

    TURKEY, ARMENIA SIGN SYMBOLIC POWER SUPPLY AGREEMENT
    by Andrew Neff

    World Markets Research Centre
    Global Insight
    September 11, 2008

    Armenian Energy Minister Armen Moysisian said yesterday that Armenia
    and Turkey had signed an electricity supply deal during Turkish
    president Abdullah Gul's historic visit last weekend to Yerevan, the
    capital of Armenia. Moysisian told reporters that the deal, signed
    between Armenia's state-owned High Voltage Electricity Network and a
    privately owned Turkish firm called UNIT, will see electricity supplied
    by Armenia's thermal power plants to eastern Turkey, beginning next
    year. Moysisian said that the agreement, the first tangible sign of a
    thaw in frosty relations between the Turkish and Armenian governments,
    would see Armenia supply 1.5 billion kilowatt-hours (kWh) of power
    initially, with volumes eventually rising to 3.5 billion kWh.

    Significance:Gul's visit to Armenia over the weekend to watch a
    Turkey-Armenia World Cup football qualifying match marked the first
    visit of a Turkish leader to Armenia in the post-Soviet period. The
    two neighbours have no diplomatic relations, as they have fought
    a rhetorical war over Armenia's international efforts to secure
    recognition of the mass killings of Armenians under the Ottoman
    Empire at the end of the First World War as genocide, a charge the
    Turkish government disputes. Armenia formerly supplied power to
    Turkey during the Soviet period, and the Armenian and Turkish power
    grids operate in parallel, so theoretically all that is needed for
    Armenia to export power to eastern Turkey is for their national grids
    to be reconnected. However, transmission lines must be repaired,
    and Moysisian said that a new transformer in Turkey would need to be
    installed, a process which would take up to five months. Although the
    power supply deal between the two countries represents a small volume
    of electricity, the deal clearly holds strong symbolic importance.

    From: Emil Lazarian | Ararat NewsPress
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