Armenia’s transport ambitions collide with Russia’s railway interests
Prime Minister Nikol Pashinyan's latest remarks on Armenia's railways were accute but entirely consistent with the line his government has been developing for months. Armenia, he said, must be able to use its own railway infrastructure as it sees fit, even if that infrastructure remains under a Russian-operated concession.
Pashinyan has made it clear that Yerevan wants to resolve the issue with Russia amicably. At the same time, he warned that if disagreements cannot be settled through negotiations, Armenia is prepared to take the matter to arbitration.
"There is now a lot of talk, mainly by the opposition, about the possibility of prices rising for certain things. But it may turn out that for something that was free in Armenia for 30 years, Armenia will start demanding $2 billion. I am not hinting at the railway; I am saying directly that this is the property of the Republic of Armenia, and there is no other option," Pashinyan noted.
His position reflects a growing conviction within the Armenian government that the existing Russian concession over the country’s railway network has become incompatible with Armenia’s plans to reopen regional transport routes and integrate itself into emerging East-West trade corridors.
The dispute dates back to February 13, 2008, when Armenia signed a concession agreement transferring the management of the state-owned Armenian Railway to South Caucasus Railway, a wholly owned subsidiary of Russian Railways. Under the arrangement, the Russian operator assumed control of Armenia’s railway infrastructure........
