President holds consultation with Public Services Regulatory Commission members

Today, President Serzh Sargsyan held a consultative meeting with members of the Public Services Regulatory Commission (PSRC).

Opening the meeting, President Sargsyan noted that it was the first-ever consultation held in such a format with the Commission due to the fact that the Public Services Regulatory Commission was growing into an autonomous entity as a result of constitutional amendments: a relevant law has already been adopted, and the Commission’s status and the requirements have changed.

The President asked the meeting participants about the problems faced in daily work, as well as which way the proposed changes have affected their activities and what needs to be done to improve the quality of services.

PSRC Chairman Robert Nazaryan reported on the work done in recent years and the key activities for 2018. In particular, he presented the 2016-2017 activities aimed at improving the legislative framework, gradually liberalizing the energy market, developing interstate trade, improving regulatory mechanisms, implementing tariff policies and investment programs, processing consumers’ applications. Reference was made to the cooperation with the Artsakh Republic and international cooperation.

The Commission Chairman noted that besides the statutory provisions relating the status of the Commission as an autonomous body and the application of stricter requirements in selecting commission members, the accountability and financing regulations were finalized, and the consumer protection arrangements prescribed.

Regarding the gradual liberalization of the electricity market and the promotion of interstate commerce, Mr. Nazaryan reported that proceeding from the most advanced international experience, including the EAEU Single Energy Market Regulatory Framework, the Commission has implemented a number of measures without resorting to legislative changes.

The Commission Chairman advised that the reforms in this field were coupled with amendments to the Law on Energy, conditioned by the necessity of legislative changes. Robert Nazaryan next presented the activities and tariff policies aimed at improving the regulatory mechanisms in energy, water management and electronic communications. He singled out the process of coordinating and exploring the short-term and long-term investment projects implemented by energy regulatory companies and, in that context, referred to two major investment projects implemented by Armenia Electric Networks CJSC (2016-2027) and Gazprom Armenia CJSC (2018-2020).

Touching upon the main directions of PSRC activities in 2018, as specified in the 2018 Activity Program, Robert Nazaryan noted that in line with best international practices and based on Asian Development Bank’s proposals, the Program was discussed with the operators and consumers’ organizations, revised and approved on the basis of their recommendations.

Consisting of about 50 points, the aforementioned program has already been approved by the National Assembly.

At the end of the meeting, noting that Armenia’s participation in different integration processes gives new impetus and quality to the activities of those economic entities engaged in public services, President Sargsyan told the Commission members to adequately respond to the programs aimed at ensuring economic development and progress in Armenia.
The President urged them not to be content with what has been achieved and continue to master the best international expertise, consistently improve, upgrade and update the tools and mechanisms meant for regulating public services.

The President stressed the need to streamline the legal field applicable to regulatory companies, enhance the level of protection of consumers’ interests and ensure their direct participation in the regulatory process. Serzh Sargsyan also highlighted the need for achieving greater publicity and transparency in Commission’s activities so that the public’s trust in its efforts could be reinforced.