Armenia and Iran have agreed to start building next year a third high-voltage transmission line connecting their power grids. This should lead to a sharp increase in electricity exports from Armenia to Iran.

The energy ministers of both countries also said, after talks in Tehran this week that the delayed construction of a large hydroelectric power plant on the border at the Arax River is expected to begin early 2016.

The two projects of several million dollars were on the agenda of a meeting of Armenian-Iranian intergovernmental commission on economic cooperation held in the capital of Iran on 15 and 16 December. The commission is co-directed by the Minister of Energy of Iran, Hamid Chitchian and his Armenian counterpart, Yervand Zakharyan.

In a statement released Thursday night, it was reported the words of Zakharian: “We have agreed with Iran to begin construction of the transmission line in March 2015 and completed in 18 months. The construction of this line will allow Armenia to increase the supply of electricity to Iran, which currently stands at 1.2 billion kilowatt / hour but could go up to 7 billion kilowatt / hour “.

Zakharian also met with Iranian Oil Minister Bijan Zanganeh. He would have told him that Armenia aims to double its trade with Iran, which exceeded $ 300 million in 2013. He cited other bilateral energy projects planned by the two governments.

“The latest round of talks resulted in important agreements, which relate to the expansion of our trade and economic cooperation in the near future,” said Iranian Energy Minister according to the Mehr news agency.

Armenian-Iranian energy cooperation was a key element of the official visit of Prime Minister Hovik Abrahamyan in Tehran in October. Zakharian was among the six cabinet members who accompanied him. During his meeting with Abrahamian, Iranian President Hassan Rouhani spoke of “great opportunities” for expansion of bilateral ties.