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The Armenian Parliament adopted in second and final reading a legislative package related to the establishment of a company intended to implement the TRIPP project.
The government-authored package, which envisages amendments to the Law on Joint-Stock Companies and six related laws, was adopted at a special session on Thursday.
A total of 60 MPs voted in favor, with no votes against or abstentions.
The opposition did not participate in the session.
Deputy Minister of Justice Tigran Dadunts presented the amendments made to the package after its first reading during the second-reading debate.
“Before the package of draft laws was adopted in second reading, the Government proposed making certain revisions aimed at harmonizing terminology and strengthening certain safeguards. In particular, it is proposed to introduce the concept of a ‘company established on the basis of an international treaty’ in the Law on Joint-Stock Companies, so that the other laws included in the package can subsequently refer to this concept, making the regulation clearer and more visible,” Dadunts said.
The Deputy Minister explained that an additional safeguard had been introduced for the adoption of decisions by the company's general meeting and board of directors. Although rules differing from the general voting procedures may be established, the number of votes required to adopt the company's most important decisions cannot be lower than the threshold prescribed by law.
“In other words, the threshold for these matters may only be raised, not lowered,” he stressed.
Clarifications have also been made regarding subsidiaries of companies established on the basis of international treaties. The application to such subsidiaries of regulations differing from those established by law will require approval by a Government decision, in order to ensure that the safeguards protecting the state in its capacity as a shareholder are maintained.
Dadunts also reported revisions to provisions concerning the protection of economic competition. According to him, given the specific nature of an interstate project, the company implementing it may coordinate the work of contractors or receive state support. Therefore, it is necessary to clarify the relationship between these activities and regulations on the protection of competition.
MP Sergey Bagratyan, a member of the Parliamentary Committee on Economic Affairs, said the package had been discussed by the committee and received a positive opinion.
The package provides for special legal regulations for companies established on the basis of international treaties ratified by Armenia and for the purpose of implementing them, in which the state holds at least a 25% stake.
The mechanism is also envisaged for similar international projects to be implemented in the future.