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Vestnik Kavkaza, Russia
Aug 14 2012
Results of Moscow meeting displease Armenia
Susanna Petrosyan, Yerevan. Exclusively to VK
Last week, the presidents of Russia and Armenia met in Moscow.
According to official information, they discussed security issues in
the South Caucasus, including the Nagorno-Karabakh settlement,
prospects of deep cooperation within the CIS and within Eurasian
integration processes, international problems, bilateral relations and
economy.
One of the key issues was possibility of Armenia's accession to the
Eurasian Union. Regarding this issue, Armenian expert society is
rather skeptical. The expert of the Armenian Center of Political and
International Research, Ruben Megrabyan, is sure that Moscow will
force Yerevan to make a choice between the EurAsEU and the EU, but `it
is dangerous to put all eggs in one bowl.'
The head of the Analytical Center of Globalization and Regional
Cooperation, political scientist Stepan Grigoryan also considers
pressure on Armenia by Russia: `The idea of the Eurasian Union
initiated by Putin has one aim: Russia wants to improve its influence
in the post-Soviet area and reconstruct links with close neighbors.
However, we should analyze whether it is beneficial for Armenia. What
can the EurAsEU give to Armenia? We have no ground boundaries with any
possible EurAsEU country. In this case I don't see any sense in
joining this union.'
Meanwhile, within Sargsyan's visit to Moscow presidents agreed on
establishing a special commission which will consider possibility of
participation of Yerevan in integration processes within the Customs
Union and the Common Economic Area. According to Putin, the
peculiarity is that Russia and Armenia have no common borders, that is
why `implementation of instruments agreed by three countries (Russia,
Belarus, and Kazakhstan) might be considered.'
At the same time, issues connected with increase of prices on Russian
gas exported to Armenia were not settled, as well as the issue on
giving $1 billion credit to Armenia. Russia is the main Armenian trade
counter-agent and the leading foreign investor to the Armenian
economy. Today mutual turnover is $1 billion.
`Today we are speaking about an important topic - prices on natural
gas exported to Armenia. I think we have found mutual understanding in
principles of price forming,' Serge Sargsyan stated. He indirectly
confirmed that he didn't manage to stop increase of gas tariffs.
The Moscow position is not a surprise. Russia is speaking about market
gas price for its partners for several years. As for Armenia, it
usually succeeded in postponing of price increases or its partial
implementation due to giving to Russia some facilities of Armenian
infrastructure. Last time Russia agreed to divide the price increase
into two stages in 2010: in April 2010 and in October 2012.
According to the opposition, the Armenian side should prepare for
buying Russian gas on market prices. For example, money gained from
gas sales within the country should be allocated to purchasing of
modern non-energy-intensive equipment and technologies, as well as to
modernization of the existing industrial equipment to make gas sphere
more money-saving, but it wasn't done.
It appears the Russian side cannot be accused of pressure on Armenia,
and the Armenian government should blame itself. The fact is that
Russia didn't postpone price increase one more time due to some
reasons.
Probably the Armenian President didn't manage to get $1 billion
Russian credit as well. Putin reminded on transfers from Russia to
Armenia which are estimated up to $1 billion. And it is a significant
part of Armenia's GDP. The Russian leader spoke about the sum in the
context of Armenia's expectations for a credit on this sum.
In 2009 Russia gave Armenia a half of a billion. But the Armenian side
didn't use money effectively. A significant part of this credit was
allocated by the government not for economic reforms or support of
socio-economic projects, but for implementation of dubious projects
with participation of dubious companies. Russia is concern about using
of its money.
As the result, two important issues for Armenia were not settled. Gas
prices will be increased ahead of the presidential elections in
February 2013.
Aug 14 2012
Results of Moscow meeting displease Armenia
Susanna Petrosyan, Yerevan. Exclusively to VK
Last week, the presidents of Russia and Armenia met in Moscow.
According to official information, they discussed security issues in
the South Caucasus, including the Nagorno-Karabakh settlement,
prospects of deep cooperation within the CIS and within Eurasian
integration processes, international problems, bilateral relations and
economy.
One of the key issues was possibility of Armenia's accession to the
Eurasian Union. Regarding this issue, Armenian expert society is
rather skeptical. The expert of the Armenian Center of Political and
International Research, Ruben Megrabyan, is sure that Moscow will
force Yerevan to make a choice between the EurAsEU and the EU, but `it
is dangerous to put all eggs in one bowl.'
The head of the Analytical Center of Globalization and Regional
Cooperation, political scientist Stepan Grigoryan also considers
pressure on Armenia by Russia: `The idea of the Eurasian Union
initiated by Putin has one aim: Russia wants to improve its influence
in the post-Soviet area and reconstruct links with close neighbors.
However, we should analyze whether it is beneficial for Armenia. What
can the EurAsEU give to Armenia? We have no ground boundaries with any
possible EurAsEU country. In this case I don't see any sense in
joining this union.'
Meanwhile, within Sargsyan's visit to Moscow presidents agreed on
establishing a special commission which will consider possibility of
participation of Yerevan in integration processes within the Customs
Union and the Common Economic Area. According to Putin, the
peculiarity is that Russia and Armenia have no common borders, that is
why `implementation of instruments agreed by three countries (Russia,
Belarus, and Kazakhstan) might be considered.'
At the same time, issues connected with increase of prices on Russian
gas exported to Armenia were not settled, as well as the issue on
giving $1 billion credit to Armenia. Russia is the main Armenian trade
counter-agent and the leading foreign investor to the Armenian
economy. Today mutual turnover is $1 billion.
`Today we are speaking about an important topic - prices on natural
gas exported to Armenia. I think we have found mutual understanding in
principles of price forming,' Serge Sargsyan stated. He indirectly
confirmed that he didn't manage to stop increase of gas tariffs.
The Moscow position is not a surprise. Russia is speaking about market
gas price for its partners for several years. As for Armenia, it
usually succeeded in postponing of price increases or its partial
implementation due to giving to Russia some facilities of Armenian
infrastructure. Last time Russia agreed to divide the price increase
into two stages in 2010: in April 2010 and in October 2012.
According to the opposition, the Armenian side should prepare for
buying Russian gas on market prices. For example, money gained from
gas sales within the country should be allocated to purchasing of
modern non-energy-intensive equipment and technologies, as well as to
modernization of the existing industrial equipment to make gas sphere
more money-saving, but it wasn't done.
It appears the Russian side cannot be accused of pressure on Armenia,
and the Armenian government should blame itself. The fact is that
Russia didn't postpone price increase one more time due to some
reasons.
Probably the Armenian President didn't manage to get $1 billion
Russian credit as well. Putin reminded on transfers from Russia to
Armenia which are estimated up to $1 billion. And it is a significant
part of Armenia's GDP. The Russian leader spoke about the sum in the
context of Armenia's expectations for a credit on this sum.
In 2009 Russia gave Armenia a half of a billion. But the Armenian side
didn't use money effectively. A significant part of this credit was
allocated by the government not for economic reforms or support of
socio-economic projects, but for implementation of dubious projects
with participation of dubious companies. Russia is concern about using
of its money.
As the result, two important issues for Armenia were not settled. Gas
prices will be increased ahead of the presidential elections in
February 2013.