Gazprom Armenia Not Planning to Absorb Gas Price Hike Burden

The newspaper "Zhamanak" reports that at the end of December last year, it became known that the Russian state company "Gazprom" is increasing the price of gas supplied to Armenia by 10 percent, raising it from $150 to $165.

In an effort to avoid upsetting the pre-holiday mood of the Armenian population, the authorities announced that the price of gas for consumers would not increase and that the difference would be compensated by cost reductions from "Gazprom Armenia".

However, a source close to the industry informed us that "Gazprom Armenia" is not planning to shoulder the burden of the price hike, and there have been no negotiations with the company on this matter. As a result, the $15 debt is accumulating, and given that "Gazprom Armenia" is now fully Russian-owned, one can only speculate what Armenia will have to provide this time to repay the Russian debt. It is likely that Yerevan Jan will be involved.

More details can be found in today's issue of "Zhamanak" newspaper.