EDB and Armenian Power Grid CJSC Sign Letter of Intent

31 October 2017

Moscow, October 31, 2017. — The Eurasian Development Bank (EDB) and Armenian Power Grid CJSC have signed a Letter of Intent. According to the document, the parties plan to arrange for partial financing of the Armenian Power Grid CJSC investment program. The program will be implemented in the territory of the Republic of Armenia.

The signing ceremony took place on October 31, 2017, in Moscow in the course of the 12th EDB Conference Eurasian Integration. The following officers acted as the signatories: for the EDB — Konstantin Limitovskiy, EDB Deputy Board Chairman; for Tashir Group — Karen Darbinyan; for Armenian Power Grid CJSC — Karen Arutyunyan, General Director.

Project investment capital will be used to modernize existing and build new distribution networks and substations, connect new consumers, replace and install power meters, launch an Automated Power Metering System (APMS), and implement an automated Management Information System (MIS) and international governance standards (ISO).

“According to the mission of the bank, power engineering is one of our priority investment targets,” commented Konstantin Limitovskiy, EDB [Deputy] Board Chairman. “The EDB is considering extension to Armenian Power Grid CJSC of a US$ 100 million credit for a term of 10 years.”

“It is expected that, as a result of implementation of the project, we will be able to effect a qualitative improvement of our power distribution function, reduce power losses, optimize current costs, modernize physical and commercial power metering systems, and expand our distribution networks; we also intend to reduce distribution network connection waiting times, and enhance the existing distribution networks management system,” noted Karen Arutyunyan, Armenian Grid Network CJSC General Director.

Additional Information:

Eurasian Development Bank (EDB) is an international financial institution founded by Russia and Kazakhstan in January 2006 to promote development of market economies of its member states, and secure their sustainable economic growth and expansion of their mutual trade and economic ties. The charter capital of the EDB is $ 7 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan.

EDB Media Center:
+7 (727) 244 40 44 ext. 6147 (Almaty)
+7 (495) 645 04 45 ext.
 2732 (Moscow)

Armenian Power Grid CJSC (APG) is engaged in distribution of electric power throughout the Republic of Armenia. Number of consumers: more than 1 million. Major employer and one of the country’s largest taxpayers.

EDB Media Center:
+374 10 59 12 28 (Erevan)

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