Armenia and Iran extend energy swap deal for four years until 2030

Yesterday on Thursday (10 August), Armenia and Iran signed an agreement to extend an energy swap deal for another for years and increase its volumes.

The renewal of the "natural gas for electricity" deal as signed at Armenia’s Ministry of Territorial Administration and Infrastructure between Aram Ghazarian, Director General of Yerevan’s Thermal Power Plant, and Majid Chegeni, Deputy Minister of Oil of Iran and Director of the Islamic Republic’s National Gas Company.

Armenian Minister of Territorial Administration and Infrastructure Gnel Sanosian said that the extension of the agreement is "one of the best manifestations of Armenian-Iranian friendly relations", adding that "the extension of the agreement is a profitable deal for both countries."

"With the extension of this agreement it is possible to increase gas imports and electricity exports, which will definitely have a positive effect on the economic development of both countries," he said, according to an official press release.

Chegeni, on his part, said that the new agreement will "give a new impetus to the development of Armenian-Iranian relations".

Terms of the agreement

Since 2009, Armenia has been importing natural gas from Iran and turning it into electricity at a local thermal power plant, supplying it back to Iran. The surplus of electricity obtained from one cubic meter of natural gas has remained in Armenia.

The term of the agreement was set to expire in 2026, but it has now been extended until 2030. Specific figures regarding the volumes of supplies are not mentioned in official reports, however.

source: commonspace.eu with agencies
photo: RFE/RL

Related articles

Editor's choice
News
Borrell tells the European Parliament that the situation in Afghanistan was critical, but the EU will remain engaged

Borrell tells the European Parliament that the situation in Afghanistan was critical, but the EU will remain engaged

Borrell underlined that the European Union will make every effort to support the peace process and to remain a committed partner to the Afghan people. "Of course, we will have to take into account the evolving situation, but disengagement is not an option.  We are clear on that: there is no alternative to a negotiated political settlement, through inclusive peace talks.
Editor's choice
News
Germany will soon have the largest conventional army in Europe, but there will be no conscription

Germany will soon have the largest conventional army in Europe, but there will be no conscription

The Bundeswehr currently has around 182,000 troops. The new military service model aims to increase that number by 20,000 over the next year, rising to between 255,000 and 260,000 over the next 10 years, supplemented by approximately 200,000 reservists. From next year, all 18-year-old men and women will be sent a questionnaire to assess their interest and willingness to join the armed forces. It will be mandatory for men and voluntary for women. From July 2027 all men aged 18 will also have to take a medical exam to assess their fitness for duty. If the government's targets are not met, a form of compulsory enlistment could be considered by parliament. If war were to break out, the military would be able to draw on the questionnaires and medical exams for potential recruits. Defence Minister Boris Pistorius said despite the new military service plan there was "no cause for concern... no reason for fear". "The more capable of deterrence and defence our armed forces are, through armament through training and through personnel, the less likely it is that we will become a party to a conflict at all," Pistorius said. Defence spending in Germany tumbled after the end of the Cold War, while conscription was suspended in 2011. Given its past, Germany has long been shy of showing military might, but earlier this year Friedrich Merz announced that the rule for German defence "now has to be whatever it takes", following Russia's full-scale invasion of Ukraine. Around 300,000 young men per year will be affected. The defense minister argues that this is the only way for the Bundeswehr to get an idea of who could be called up in the event of a conflict.

Popular

Editor's choice
News
Germany will soon have the largest conventional army in Europe, but there will be no conscription

Germany will soon have the largest conventional army in Europe, but there will be no conscription

The Bundeswehr currently has around 182,000 troops. The new military service model aims to increase that number by 20,000 over the next year, rising to between 255,000 and 260,000 over the next 10 years, supplemented by approximately 200,000 reservists. From next year, all 18-year-old men and women will be sent a questionnaire to assess their interest and willingness to join the armed forces. It will be mandatory for men and voluntary for women. From July 2027 all men aged 18 will also have to take a medical exam to assess their fitness for duty. If the government's targets are not met, a form of compulsory enlistment could be considered by parliament. If war were to break out, the military would be able to draw on the questionnaires and medical exams for potential recruits. Defence Minister Boris Pistorius said despite the new military service plan there was "no cause for concern... no reason for fear". "The more capable of deterrence and defence our armed forces are, through armament through training and through personnel, the less likely it is that we will become a party to a conflict at all," Pistorius said. Defence spending in Germany tumbled after the end of the Cold War, while conscription was suspended in 2011. Given its past, Germany has long been shy of showing military might, but earlier this year Friedrich Merz announced that the rule for German defence "now has to be whatever it takes", following Russia's full-scale invasion of Ukraine. Around 300,000 young men per year will be affected. The defense minister argues that this is the only way for the Bundeswehr to get an idea of who could be called up in the event of a conflict.