What Changes Will Be Made to the Energy Law? State Ownership of HEC in the National Assembly

The National Assembly's website has posted a draft of the energy law. The legislative changes do not directly mention HEC. The ruling party proposes changes to point 9 of the Law on the Regulator of Public Services (HO-18-N) from December 25, 2003.

"In the presence of a report from the authorized body of the government, which reasonably proves that the safety or reliability of the component system of the energy sector is threatened or may be threatened, or that a probable violation has led to or may lead to the infringement of the rights or legal interests of a group of consumers or gross violations of licensing conditions, the chairman of the Commission shall immediately initiate administrative proceedings within five days of receiving the report," the legislative change package states.

The ruling party also proposes a new article in the energy law regarding preventive measures. Specifically, the Public Services Regulatory Commission (PSRC) can establish a program for the elimination of identified violations or the rectification of their consequences and appoint a temporary manager from a licensed person.

A temporary manager can be appointed if they have higher education and at least five years of experience in the energy sector or management. Moreover, the issue of the free sale of shares of HEC is being considered for regulation through amendments to the energy law, which would grant the government a right of preference in the case of divestiture, transfer, or encumbrance of 25% or more equity or property of a licensed company.

It is worth noting that Prime Minister Nikol Pashinyan has suggested during today's government meeting to put HEC shares up for sale, allowing Armenian citizens the opportunity to purchase them.