08 February 2016, 00:00

Electricity For Gas: Armenian Iranian Power Exchange

The Armenia-Iran initiative to construct the third Armenia-Iran high voltage transmission line and Armenia’s own plans to construct a 400-kilowatt power transmission line, expected to be completed within two years, will give Armenia the opportunity to receive as much as five times more natural gas from Iran.

In 2004, Armenia and Iran signed an agreement which allows Iran to receive electricity from Armenia in exchange for natural gas.

The expected third high-voltage transmission line between Iran and Armenia will allow Armenia to transmit three times more electricity to Iran and will also allow Iran to join Russian and Georgian power grids. The construction of this line will cost 117 million dollars, most of which, 91 million, will be funded by the Export Development Bank of Iran.

Topic

Region Business

Location

Iran