Azerbaijan Russia to Negotiate Continuation of Electric Power Exchange

Oil&Gas Materials 9 April 2007 18:45 (UTC +04:00)

Azerbaijan, Baku / Trend , corr. S. Aliyev/ Marlen Asgarov, the Vice-President of "Azerenerji" JSC, stated that negotiations to resume the electric power import-export between Russia and Azerbaijan are expected to be held in Moscow tomorrow on 10 April, 2007.

According to him, an agreement on resuming the joint work of both electric energy systems is expected to be reached during forthcoming negotiations. The electric power exchange between Russia and Azerbaijan is presently going at zero level in accordance with the agreement on prices available. During the exchange, the whole quantity of transportation of electric energy will be maintained. The volume of electric power supplied from Russia is returned at the same quantity.

The existing agreement on electric power supplies between the two countries is considered for 2007. However, the tariffs were taken only for the first quarter. The electric power import from Russia to Azerbaijan in the first quarter was carried out on the tariffs, which applied in 2006 @ 3.636 cents per 1 KWatt per hour. The price of the export of Azerbaijani electric power to Russia has increased from 1.58 cent per 1 KWatt per hour to 1.8 cent. During peak hours (five hours in the evening), at a time when Azerbaijan experiences a shortage of electric power, the Russian party has supplied our country at a capacity of 200-250 MWatt.