Haykakan Zhamanak: Electricity tariff may increase by 3.5-4 drams, and not 7 drams

The Armenian government is considering reducing VAT on electricity supplied to consumers from 20% to 18%, ‘Haykakan Zhamanak’ daily says. In the current ‘frozen’ tariff of 49 drams, the VAT paid to the state budget amounts to 9.8 drams. If VAT is reduced to 18%, then the tariff will increase by 7 drams and not 5.5 drams. Another 1-2 drams could be saved by changing energy modes so in October the power tariff may be raised by 3.5-4 drams, rather than 7 drams.