Iranian President Hassan Rouhani said the settlement of the disputes between Azerbaijan and Armenia and liberation of areas in the disputed Nagorno-Karabakh region would have good economic impacts for people living on the Iranian side of the border, Tasnim reported.

Speaking to his Cabinet on Wednesday, Rouhani said that the settlement of disputes between Armenia and Azerbaijan over areas surrounding the Nagorno-Karabakh region enabled Iran and Azerbaijan to complete key hydroelectric projects on the border.

“The liberation of territories of the Republic of Azerbaijan was helpful to some economic activities, a first (instance) being an agreement on the Khoda Afarin Dam which we could use its electricity and water. This dam is capable of irrigating 120,000 hectares of our lands,” he added.

Iran’s Energy Minister Reza Ardakanian announced on Wednesday that he had reached a final agreement with Azerbaijan’s deputy prime minister and his accompanying delegation on how the two countries should proceed with plans to construct two major power plants on the Khoda Afarin Dam.