YEREVAN. - Armenia should incur no more debt of energy operators, Mr Mark Horton, head of the International Monetary Fund’s mission to Armenia, told the media Friday in Yerevan, on the conclusion of the mission’s latest working visit and Article IV consultations with the financial authorities of Armenia.

Particularly, the IMF delegation has discussed the recent developments in the energy sector, including two audits currently in progress – one considering the entire electricity sector and tariffs, the other looking at the financial condition of the Electric Networks of Armenia (ENA), the operator of the national power grid.

The view is clear: the sector needs to be more financially sound, he said.

One thing the mission has observed is that the state assumes debt of electricity companies which is not in line with financial stability patterns. On the other hand, it is advisable that energy companies stick to their core activities and not extend them beyond, Mr Horton added.

Electricity prices in Armenia have increased by 6.93 drams per kWh since August 1. This is 15% up to 48,78 AMD (about 10,3 cents per KWh at current exchange rate) for households. The government will reimburse the price hike for them, as well as micro businesses, until Deloitte & Touche CIS, company selected by tender for consultancy, submits conclusions and recommendations on the energy sector of Armenia.