Azerbaijan and Russia Reached Agreement on Electric Power Deliver till End of 2006

Oil&Gas Materials 1 December 2006 12:53 (UTC +04:00)

Azerbaijan has reached an agreement with Russia for electricity power to be delivered until the of this year. The agreement which expires at the end of 2006 will continue based on previous terms, the Vice President of Azerenerji Joint-Stock Company, Marlen Askerov, stated, Trend reports with reference to the Press Service of the Company.

According to Askerov, during negotiations with Russia, debates were organized on the decrease or full termination of the import of the electric power from Russia and the increase of the tariffs. Transactions for 2007 will be discussed in the near future in Baku.

As the President of Azerenerji, Etibar Pirverdiyev stated earlier, in 2007 Azerbaijan intends to acquire 700 mln kVt electric power from Russia. According to him, the Russia announced that it will decrease the delivery of electric power this year. If during the early winter period, the capacity of the electric power delivery equals nearly 300 mVt during the night, next year this indicator would not exceed 60 mVt. If Russia was delivering 100 kVt of electric power monthly, next year this figure would be decreased to 30 kVt, Head of Azerenerji said.

In addition, Russia appealed for the increase of tariffs for the delivered electric power up to 4,1 cent per 1 kVt. From 30 November, Azerbaijan will sell 350 mln kVt electric power to Russia for 1,6 cent per 1 kVt during the night. In return, Russia will deliver 1 bln kVt electric power to Azerbaijan for 3,636 cent per 1 kVt during the day. Last year, 1 bln 033 kVt electric power was delivered from Russia to Azerbaijan for 2,8 cents per 1 kVt.