Money to choose

Yugeny Krishtalyov. Exclusively to VK

Armenian President Serge Sergsyan’s working visit to Moscow caused many versions of true aims of the conversation between him and Russian President Vladimir Putin. The agenda of interests and sharp themes is too wide to choose the most acute and important: gas prices, elections in Armenia, Russia’s initiative on the Eurasian Union, settlement of the Nagorno-Karabakh conflict, and even prospects of the Armenian-Turkish dialogue.

The front theme of the Russian-Armenian dialogue is the election campaign started in Armenia. Actually in a half of a year Armenian electorate will choose a new president. Who will be the next leader of the country? Serge Sargsyan is ready for the second term; the former president Robert Kocheryan is considered to have political ambitions. Probably new politicians will appear, for example, the leader of the party Prosperous Armenia, Gagik Tsarukyan.

Anyway the candidate for presidency of the Armenian state should find support of Moscow as soon as possible and define political and economic outlines of the cooperation. And Serge Sargsyan is dealing with it.

One of the main priorities placed at the focus of the media attention is gas negotiations. Ahead of the elections increase of Russian gas prices is undesirable for Armenian authorities, but it is avoidable just like the date of voting. In the end Sargsyan stated that the sides reached mutual agreement on principles of Russian gas prices forming.

“It should correlate with reality of the market gas price multiplied or divided into demand of Armenia in natural gas, considering tariffs which are close to regional prices and under effectiveness of its (Armenian) economy,” Sargsyan told journalists.

During recent times the Armenian and Russian mass media actively discussed rumors on the fact that the Russian company Gazprom and the Ministry of Energy and Natural Resources of Armenia conduct negotiations on increase of the price of Russian gas exported to Armenia. According to the information, Gazprom intends to set new tariffs on gas since October 1. 1000 cubic meters of gas will cost $280 instead of current $180. However, it is not a final price – since January 1, 2013, 1 thousand cubic meters of gas would cost $320.

The Minister of Energy and Natural Resources of Armenia, Armen Movsisyan, confirmed the fact of negotiations, but he refused to give information on details. He assured journalists that there could be no any secret prices’ increase.

In the context of coming price increase and the election campaign the government of Armenia needs resources. The problem appeared after the Conference of the EU countries-donors postponed the issue on providing Armenia with financial support. It seems Yerevan addressed to Moscow for financial help. The Armenian authorities are thought to hold secret talks with Russia on a large credit. The sum is from $800 million to $1 billion. That is the cost of election promises by Armenian President to people to maintain his position for next five years.