Tashir Capital moves to block government takeover of Electric Networks of Armenia
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The first hearing in the case of Tashir Capital against the Public Services Regulatory Commission (PSRC) took place today in the Administrative Court, presided over by Judge Lilit Sadoyan. The company is challenging the PSRC's decision to revoke its electricity distribution license.
"We have filed a motion to secure the claim. The court must hear this case within two months, but simultaneously, the government must submit a proposal to acquire ENA shares or assets within three months. We have filed a corresponding motion to suspend this, preventing the government from taking such actions," the lawyer clarified.
Lawyer Vardan Aloyan also raised concerns about the constitutional validity of the legal changes that paved the way for this process. He argued that legislative amendments were specifically introduced following the detention of Samvel Karapetyan to facilitate the removal of ENA from its owners.
"In other words, they amended the law to seize ENA from its owners. There's also a question of retroactivity-the law was passed in July, but it allows for past violations to be considered. The PSRC and the Ministry of Territorial Administration and Infrastructure were given broad powers to present past violation dating back even before the Tashir Group acquired the company, Aloyan stated, noting that this was done to add weight to the case. The lawyers also filed a motion to include the government-appointed interim manager of the ENA, Romanos Petrosyan, as a third party. The interim manager is an administrative body, not a representative of the ENA, and is not authorized to represent the company. However, the court rejected this motion, also denying Aloyan permission to represent the ENA. The court ruled that the company should be represented by a person authorized by Petrosyan, who, however, fails to attend court hearings and does not present any position. "Essentially, the ENA is now deprived of the right to judicial protection," the lawyer emphasized.
Recall, during its meeting on November 17, 2025, the Public Services Regulatory Commission (PSRC) made a decision to invalidate the ESA license issued to Tashir Capital. As PSRC Chairman Mesrop Mesropyan told reporters, the revocation of the electricity transmission license begins a process stipulated by national legislation. Specifically, a three-month countdown begins, during which the state will negotiate with the owner or the Board of Directors about buying out the company's shares, which will ultimately determine an acceptable price. If negotiations are unsuccessful, the state may assume preemptive control of the grid. Until this process is completed, the institution of an interim manager will remain in place. After the grid is nationalized, the state will determine its status. One option is to sell the company to another company, another is to transfer the management to a state-private sector consortium, and the third option is to maintain state ownership of the grid.
Today, at a government briefing, Prime Minister Nikol Pashinyan stated that the market value of Electric Networks of Armenia (ENA) is currently being assessed, and that the company's market value may decline due to its poor financial situation. He stated that if the final value is affordable to the state budget, ENA will be nationalized and transferred to the trust management of a reputable international company or concern. "There are also opinions, albeit very preliminary, that the company's financial situation may be so poor that its market value will decline, and [for its acquisition - ed.] it will simply be possible to allocate funds by government decision. But I won't say anything concrete yet. I don't think there's any rush," Pashinyan stated.