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Increasing Cost of Natural Gas Will Affect the Cost of Electric Power Production Azerenerji Head

Oil&Gas Materials 25 November 2006 12:29 (UTC +04:00)

The Joint-Stock Company Azerenerji has not appealed to the Government of Azerbaijan with an offer to increase the prices for the electric power, the President of Azerenerji, Etibar Pirverdiyev said, Trend reports.

Presently, the electric power is delivered to the distribution companies for 1,4 kopecks (Azeri currency 100 kopecks = 1 AZN) per 1 kVt/hour, and the population receives it for 2 kopecks per kVt/hour.

However, presently the cost of production amounts to 4 kopecks, taking into consideration the cost of the gas and mazut.

If next year, the cost of the gas delivered by Russia is increased up to $230 per 1,000 cu.m, then the prime cost of the production of the electric power will increase. The Russian gas is mainly delivered to the electric power stations for the production of the electric power.

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