YEREVAN. – The tariff rate of electricity produced by Vorotan Cascade will not be increased immediately after the sale, Energy Minister Yervand Zakharyan said in the parliament on Wednesday.

The American company has assumed a loan of 51 million euros from the German bank KfW and thus will in fact assume investments in modernization of the Cascade.

An amended agreement for ContourGlobal to purchase the Vorotan Hydro Cascade was signed at the Armenian government on Monday.

During the meeting of the Public Services Regulatory Commission on June 17, the rate for Vorotan Cascade is planned to be set at 5,474 drams per kWh including VAT (about 1.1 cents). The cost of electricity here, thanks to the high water flow, is one of the lowest in Armenia.