The State Commission, founded for the revision of the fulfillment of the contract obligations on the Baku and Sumgayit Electric Power Distributing Networks by Barmek Azerbaijan within the Azerbaijani Ministry of Economic Development, has concluded the estimation of all insufficient assets, Trend reports. Mikayil Jabbarov, the Deputy Azerbaijan Economic Development Minister, said that the scope of the damage exceeds 30 mln. AZN. It also includes electricity debts the Turkish Company inherited from Azerenerji JSC.
Barmek has two types of debts. The first one is for electricity received in 2006, which was not paid by the Company at all. The other debt is for the electricity offered on a lax cost, but the Company is to launch the pay back starting from 2008. According to the contract, Barmek Azerbaijan was to gradually increase the level of payment for electricity to 50%, 55%, 60%, 75% (since 2005) and up to 100% starting from 2006. The state is not going to make these means as a present to the Turkish Company, said the Deputy Azerbaijan Economic Development Minister. They are estimated at several hundred of million mantas. In accordance with the agreement, the Economic Development Ministry has initiated a suit to recover looses in an Azerbaijani court. Last week, the court on considering a complaint on withdrawing the panel of judges put forward by the Turkish Company itself, therefore the legal proceedings are open, however the court has not commenced considering the suit initiated by the Azerbaijan Economic Development Ministry. The two above-mentioned electric power distributing companies were handed over to the management of Barmek Holding in 2000-02, but the contract was canceled by the initiative of the Azerbaijan side last year.