Tuesday, November 16 2021 15:58

ArmInfo.From February 2022, part of the energy market in Armenia will be liberalized. This was stated by the Chairman of the Public Services Regulatory Commission  Garegin Baghramyan on November 16 at a meeting in the National  Assembly, answering a question about the fate of small hydroelectric  power plants.

As the head of PSRC pointed out, the guarantee of compulsory purchase  of electricity, previously provided by the state to small  hydroelectric power plants (for a period of 15 years), will not work  if new regulations are introduced. "They will be free to join the  electronic market trading platform and trade in accordance with all  trading rules," Baghramyan explained.

According to the head of the Regulator, from May 1, according to the  amendments to the law "On Energy", licenses will be provided without  quotas and corresponding state guarantees, but according to a simpler  scheme. Further, by connecting to the electronic platform, these  business entities will be able to wholesale the generated  electricity.

Earlier, Deputy Minister of Territorial Administration and  Infrastructures Hakob Vardanyan reported that for the implementation  of the program for the liberalization of the electricity market, the  US Agency for International Development provided a grant in the  amount of $ 8.5 million. According to him, with the liberalization of  the market, a number of generating stations will start selling their  electricity at a tariff formed as a result of supply and demand in  the market, and not at the tariff price set by the PSRC. As a result  of the application of the program, generating facilities will have  the opportunity of 10% free sale of electricity. As the Deputy  Minister assured, the gradual liberalization of the electricity  market will ensure equal competitive conditions, contribute to the  stabilization of tariffs and increase the level of regional  cooperation.