YEREVAN, July 15, 2025 — Opposition factions in Armenia’s parliament have filed a petition with the Constitutional Court challenging legislation that would allow the government to nationalize Electric Networks of Armenia (ENA), a private utility company owned by Russian-Armenian businessman Samvel Karapetyan. The lawsuit, submitted on constitutional grounds, is the latest flashpoint in an escalating political and legal crisis over state control and property rights.
Speaking to pastinfo.am, opposition MP Artsvik Minasyan said the appeal disputes the legality of multiple provisions and amendments that enable authorities to seize control of ENA without judicial oversight.
“One of the core concerns is the violation of property rights. The new law allows the government to revoke ENA’s operating license without a court ruling — essentially stripping a licensed private entity of its legal ability to manage its own assets,” Minasyan said.
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Government Moves Forward with Nationalization Plan
The Armenian parliament recently passed controversial amendments to the laws On Energy and On the Public Services Regulatory Commission, creating a legal pathway for the nationalization of ENA. Shortly after, armlur.am reported that Prime Minister Nikol Pashinyan is preparing to appoint his ally Romanos Petrosyan as interim administrator of the utility company.
Critics say the amendments amount to a backdoor nationalization. “The law enables expropriation of private property in ways not sanctioned by the Constitution or international agreements,” Minasyan warned.
He also highlighted concerns over retroactive legal provisions, saying the legislation violates the constitutional ban on applying laws to past actions. In addition, the new framework allegedly undermines the autonomy and independence of regulatory institutions.
“There are serious concerns about legal certainty — especially regarding the process of determining the company’s sale price,” Minasyan said. He pointed out that under corporate law, shareholders traditionally hold first-purchase rights in such transactions. “Now that priority is handed to the government without any corresponding legal changes.”
Procedural Violations and Broader Implications
Minasyan further claimed that the law was rushed through parliament without proper expert analysis or public consultation. “The public had no chance to take part in open hearings. The process lacked transparency and accountability.”
But beyond the legal issues, he warned of a looming energy sector collapse if the government proceeds with nationalization. “The risks to the country’s power grid are real. This law could trigger a systemic crisis.”
Political Backdrop: Crackdown on Karapetyan and the Church
The legal move follows the dramatic arrest of Samvel Karapetyan, a billionaire and head of the Russian-based Tashir Group. Long known for his philanthropy, Karapetyan recently spoke out in support of the Armenian Apostolic Church, which has come under verbal attack from Pashinyan in recent months.
The prime minister has publicly insulted church leaders and donors, including Karapetyan, over what he called their “subversive” role in Armenian society. On June 17, Armenia’s Interior Ministry raided Karapetyan’s Yerevan residence. The businessman was detained and arrested the next day.
Karapetyan’s office condemned the arrest as an attempt to silence dissent. “Framing civic engagement as a threat to the state is a tactic of fear and repression,” his press service said in a statement.
The Kremlin has taken note. Russian presidential spokesperson Dmitry Peskov said Moscow is prepared to assist Karapetyan if needed, signaling that the situation could have geopolitical consequences.
