YEREVAN. – The Government of Armenia will continue subsidizing the electricity prices for the country’s population and small and medium-sized enterprises (SMEs). 

Prime Minister Hovik Abrahamyan told about the aforementioned to reporters on Wednesday.

“The government has money, and it will subsidize,” said Abrahamyan. “We agreed that we would do [it], and we are doing [it].”

The SMEs, on the other hand, argue that they are being forced to sign contracts with the new—and higher—electricity tariff.

Electricity prices in Armenia have increased as of August 1. PM Hovik Abrahamyan, however, had announced that the increased amount would be subsidized from the non-budgetary funds. But this initiative had caused anger because even though President Serzh Sargsyan had stated that the government will shoulder the entire respective burden, the PM had stated that subsidies will be provided solely to the population and the SMEs that consume up to 500 kilowatts/hour of electricity per month.