Thursday, 12 January 2017
PM instructs to submit proposals on replacement of imports with local production
A regular Cabinet sitting was held today, chaired by Prime Minister Karen Karapetyan.
Before proceeding to the agenda, the Premier issued several instructions. The Prime Minister’s first directive referred to the replacement of imports with local production. “I give the ministers of Economic Development and Investment, Finance, Defense, Agriculture, Healthcare 20 days to submit proposals on replacement of imports with local production for specific types of goods,” the Head of Government said.
The Prime Minister instructed to specifically consider various options for the replacement of mechanisms, including:
1. Select equivalent substitute products the manufacture of which can be profitable and competitive in relation to imported goods. Use market mechanisms to ensure that the demand for such products as may prove not profitable in terms of production by reducing the demand for imported goods;
2. Profitable products produced locally and competitive on the local marketplace that face output capacity restrictions or no such production is organized locally. Moreover, investments for the production of products or production capacities can be redeemed in the medium term.
The next instruction Karen Karapetyan gave to the head of the State Property Management Department by the Government. “Firstly, discuss with the ministers of Healthcare, Justice, Emergency Situations, Nature Protection, Agriculture, Energy Infrastructures and Natural Resources, Economic Development and Investment, Education and Science, Culture, Defense, Sport and Youth Affairs, Transport, Communications and IT and with the Head State Urban Government Committee submit proposals on the use of specific measures and mechanisms relating to the management of State-run commercial organizations with a view to ensuring a drastic increase in budgeted dividends in 2017. Secondly, submit recommendations within a three-month period on increase of efficiency in the lease of State property in order to achieve increased budget revenues and provide for significant improvement in the quality of services.”
The Prime Minister instructed the head of State Property Management Department to submit within two weeks the lists of commercial organizations involved in the program of privatization. Within a period of three months, the State Property Management Department by the Government shall submit forecasts of value estimates concerning those commercial entities included in the privatization program, as well as concerning the disposal of state property in 2017.
Karen Karapetyan issued energy system development-related instructions for the Minister of Energy Infrastructures and Natural Resources and the Minister of Economic Development. “In collaboration with the Public Services Regulatory Commission, study and submit within three months a proposal on amendments to Armenia’s energy system development program until the year 2036. The proposal should be aimed at generating least-cost electricity in Armenia.
• Prioritizing the activation of talks with regional countries and the use of internal opportunities and the resulting expansion of electricity trade opportunities with countries in the region,
• Taking into account the trends of economic development in Armenia, the pricing trends on the global fuel market, the large-scale investments aimed at building new power transmission capacities toward Iran and Georgia,
• As well as taking into account the need to develop renewable energy and the ensuing strengthening of energy independence, energy security, increase reliability of the energy system,” the Premier said, adding that there is a need to have a clear-cut action plan specifying the opportunities and needs.
Referring to the well-known problem of the school in Artik, Karen Karapetyan issued instructions on school building conditions. “I instruct the ministers of Education and Science, Territorial Administration and Development, the Governors and the Mayor of Yerevan to explore the status of urban school buildings and present recommendations on providing better schooling conditions for our children. I give you two weeks to submit recommendations on refurbishment of educational institutions or other possible solutions,” the Prime Minister said, adding, “I think the task is simple: we have the possibility to optimize the school in Artik as the other schools are either empty or in bad condition.”
The meeting approved the Government’s program of activities and priorities for 2017. Minister-Chief of Government Staff David Haroutunyan noted that it covers 140 priorities and 160 activities. According to David Haroutunyan, for the first time ever, there are subtasks envisaged under the priorities with specific deadlines for their implementation.
The Government approved the draft presidential decree on establishment of RA Consulate General in Dubai, UAE. The reference note says there is steady progress recorded year by year in terms of diversified relations and cooperation with the Gulf countries. The founding of the Consulate General will help develop activities aimed at the promotion and development of trade-economic and investment cooperation in addition to consular activities.