Power Generation, Distribution and Transmission Company (Tavanir) is planning to sell 10% of its imported electricity from Armenia to Georgia, the managing director of state-run National Iranian Gas Company said on Sunday.
"Negotiations with Georgian officials have yielded positive results and the deal to provide Tbilisi with power will be finalized soon," Hamidreza Araqi was also quoted as saying by Shana, the National Iranian Oil Company's news agency.
According to the official, based on a contract signed in 2004, Iran exports 1 million cubic meters of gas to Yerevan Thermal Power Plant in Armenia and imports electricity in exchange.
"Iran's natural gas is used by the Armenian power plants to generate electricity, of which 10% will be sold to Georgia," Araqi said, adding that Tehran receives 3.2 kilowatt-hours of electricity from Yerevan in exchange for 1 cubic meter of natural gas.
Iran and Armenia's power grids are linked by two electricity lines and a third is under construction.
Araqi noted that the power line, to be completed by the end of 2018, is part of an agreement signed by Iran, Russia, Armenia and Georgia to synchronize their power grids by 2019.
"Tavanir's electricity exchange with Armenia would increase fourfold to around 1,200 megawatts, once the construction of the third power transmission line is complete," he added.
According to NIGC chief, Armenia is looking to increase natural gas imports from Iran based on an agreement that would allow the neighboring state to receive up to 600,000 cubic meters more gas from the current level of 1 mcm per day.
"An Armenian delegation is expected to visit Tehran in the near future to negotiate the details of a new deal to raise gas imports for more electricity exports," he said.
NIGC transferred 13.8 billion cubic meters of gas to target destinations last year and plans are underway to raise the level in the coming years. The country is expected to account for 10% of the global gas export share by 2025, for which not only have new contracts been concluded, but also talks are underway with potential customers in the region.
