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Gagik Minasyan, chairman of Armenia’s parliamentary standing committee on financial, credit and budget affairs, talked to the correspondent of Panorama.am in connection with the ongoing rallies in Yerevan against the power tariff rise and the statements made by Armenian President Serzh Sargsyan at the June 27 consultation with officials responsible for the country’s economic policy.

“In fact, the head of state proposes a solution that freezes the tariff increase not only for citizens, but also for business entities, which is very important. That step eased concerns about a chain reaction and a rise in prices of commodities. The main demand of rally participants has, in fact, been met,” Gagik Minasyan said.

“On the other hand, what situation would emerge if the decision on the electricity tariff rise were revoked without real solutions being proposed and if the government did not undertake to cover the tariff rise? In that case, if it turned out that the tariff rise was a well-founded step, the business entities would find themselves in a baselessly bad economic position, which would result in the system’s destruction and the need for new loans. As a result, much more funds would be needed to restore the system,” he noted.

Gagik Minasyan reminded the correspondent of Panorama.am that the president proposes that a consulting company which has wide international experience in energy and enjoys great authority should be chosen (with demonstrators’ participation). That company should be asked to involve an audit company as well and to answer the following questions: who substantiated the tariff rise was and what dangers face the energy system if the tariff is not raised. If the conclusion confirms that the tariff rise was not substantiated, then the government will take action to refund the sums paid to the Distribution Grid and bring to account officials who failed on their duties. But if the conclusion confirms the soundness of the tariff hike, the consumers will start paying that tariff from that moment on.

“Obviously, the president has, in fact, solved the problem that was raised by demonstrators,” G. Minasyan said adding : “The way of solution suggested by the Armenian president is not only in line with demands of demonstrators, but is also the best of the two possible solutions: to freeze and not compensate, or to compensate the tariff rise prior to getting the audit results”.

As regards another demand of demonstrators - to punish all policemen who committed violations during the events early June 23, Gagik Minasyan said: “An official investigation is underway in this connection. I am sure all those guilty will be punished, regardless of whether they are demonstrators or law enforcers”.