Armenia: Round Table Session on Solid Waste Management Held in Orhus Centre

Round Table Session on Solid Waste Management Held in Orhus Centre
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Companies. Yerevan. OREANDA-NEWS. On 05 August 2008 was announced, that number of representatives from state and public organizations participated in regular discussion of «Nubarashen Landfill Biogas Capture and Power Generation Clean Development Mechanism Project».

Deputy Minister of Economy Vahram Ghushchyan presented main objectives of declining by the Ministry of Economy the Protocol of Understanding proposed by «Shimizu» consortium.

The Ministry of Economy is against the realization of «Nubarashen Landfill Gas Capture and Power Generation Clean Development Mechanism Project» by Japanese Shimizuconsortium's protocol. On 2002 the Armenian party signed a Protocol of Understanding on waste management with Shimizu consortium. Now the proposal of sign the main agreement was presented to the Ministry of Economy.

Today, at the Round Table session in «Orhus» centre in Yerevan, with participation of representatives from Shimizu consortium and the number of environment preservation funds, the Deputy Minister of Economy V. Ghushchyan presented the negative position of the Ministry of Economy on signing that agreement by bringing substantiating economical calculations.

By his words, according to Kyoto Protocol, in developing countries (in Armenia as well) «Certified Emission Reduction» (CER) stocks are issued in case of Greenhouse Gas (GHG) Emission Reduction and implementation of Clean Development Mechanism.

Besides, the developing countries don't take responsibility for Greenhouse Gas Emission Reduction, as the developed countries, but in case of GHG reduction, the Executive Council of the Clean Development Mechanism issue 1 CER per one ton of CO2 reduced emission, which owns the party, mentioned in the agreement — Japanese organization in this case.

According to the Kyoto agreement, a number of developed countries committed to reduce the GHG emission for 5 % from the beginning of 2008 till 2013, in comparison with 1990. As a result, in the stock exchange market of developed countries the CER stocks are much in demand. In fact, the profit margin of the Japanese party profits 99 %, and only 1 % symbolically profits Armenia. Besides, when Armenia proposed to generate electronic power in the framework of this project in future, the Japanese party wanted to get 50% of the generated power.

In opinion of the Deputy Minister Vahram Ghushchyan, one of the reasons of the Ministries negative position is that the problem of waste management of Yerevan still exists, because cooperation with Japanese company salves the problem of Nubarashen landfill only. And the problems of scavenging and transportation of garbage still stays unsettled. Also, Mr. Ghushchyan underlined the point in Protocol, which demands the guaranty of solid waste accumulation in Nubarashen landfill for future 16 years. By his words, it is not the most appropriate place for landfill and most probably in future difficulties and problems can appear.

The Japanese part, in the persons of the representatives of «Shimizu» consortium Hiroyuki Kurita and Akihiko Hirayama, presented its economical arguments regarding this project, the internal expenditures and external incomes. According the Japanese party, the income form selling of the generated electric power form solid waste power will be shared by fifty-fifty: the Japanese party as well as the Armenian will get 8.8 million US dollars in 16 years, as it is mentioned in the Protocol. Also, the Japanese side gets USD 9 per each sold CER stock. Mr. Ghushchyan objected especially this point of the Protocol, because this price is continuously rising up in stock exchange market.

Vahram Ghushchyan appeared with proposal to add a point in the Protocol. According that point, if CER stock will rise up in price, in that case 99% of the increased price (difference between nominal and sold price) will profit Armenia for each sold CER and 1 % only will profit the Japanese party. The Deputy Minister mentioned that the Armenian party is ready to take responsibility if the CER will fall in price in the international stock market.

But this condition was inadmissible for Japanese businessmen. They also emphasized, that even with heavy investments they made, they will work approximately 5 years without any benefit.

During the hot discussions, the Armenian representatives from environmental preservation funds agreed with the Japanese party, signifying the fact of partnership with «Shimizu». They also said that it is very important for Armenia to clear out the solid waste, accumulated in Nubarashen landfill, because of its dangerous emissions.

Cooperation is beneficial for Armenia, by their assessment, which was clarified during a number of discussions. The Armenian representatives from environmental preservation funds underlined also, that Armenia cooperates with «Shimizu» consortium in solid waste management since 2002, and it is unacceptable to lose this company as a partner and investor.

In reply, Mr. Ghushchyan pointed, that the waste management projects are one of the most beneficial in the international market, that is why there will always be the investors. He also informed that the World Bank engaged 5 independent experts, by Armenian side request, to evaluate this project once again and present the expenditures and incomes for each party after 9 months. Mr. Ghushchyan said, that in future they can announce a tender for solid waste management and all interested companies, including this Japanese company, can take part in it. The Japanese party didn't welcome that proposal also. The discussion finished without consensuses.

«If this question will reach a deadlock, we have to salve this issue in a most advantageous way for Armenia», — said the Deputy Minister to «Armenpress» journalist, adding that this question should be transferred to another level of discussion. In any case, the determination of the Ministry of Economy is final, and the Ministry would like to hear the reviewed opinion of the RA Ministry of Nature Protection and interested organizations. V. Ghushchyan is certain, that this is a perfect ecological, but not economically productive project.

07.08.2008, 23827 просмотров.

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