Debed-Hydro LLC and Investors Club of Armenia fund will sign an agreement on construction of Shnogh HPP

ArmInfo. Between the Armenian Government, Debed-Hydro LLC and the non-public contractual investment fund Investors Club of Armenia, an agreement will be concluded on the program for the construction of Shnogh HPP. The conclusion of the agreement is planned to be approved at a meeting of the Armenian government on August 10.

According to the justification for the decree, the project plans to design, build, finance the Shnogh hydro- power plant with an installed capacity of 76 MW on the rights of possession, use and disposal of property.

It is planned that the Armenian government will assist the developer to purchase a land plot for the construction of a hydroelectric power station. The developer undertakes to carry out construction work on this object. For at least 20 years from the date of commissioning Shnogh HPP, the Armenian government undertakes to guarantee the purchase of at least 500 million kWh of energy from Electric Networks of Armenia JSC annually.

Earlier it was reported that the implementation of the construction project of the Shnokh hydro-electric power plant  on the Debed River will allow Armenia to increase the hydropower potential of the republic. On June 14, during the meeting with the US Ambassador Extraordinary and Plenipotentiary to Armenia Richard Mills, the Minister of Energy and Natural Resources of Armenia Ashot Manukyan, whose words are quoted by the press service of the ministry, said. According to the source, the installed capacity of the station should be 76 MW. According to preliminary estimates, the cost of the project is $ 150 million. According to the Minister, the project will give an opportunity to create new jobs in the Lori district. In his turn, the US ambassador noted the interest shown by American companies in the energy sector of Armenia. The diplomat expressed his readiness to present this project to American companies. In an interview with ArmInfo, Hayk Badalyan, head of the energy department of the Ministry of Energy Infrastructures and Natural Resources of Armenia, said that the search for investors is taking place on all the sites and levels on the Shnokh and Lori-Berdskaya HPPs. In this issue, the head of the department continued, in addition to solving technical and environmental issues, it is important to determine the possible impact of these projects on the final tariff for the consumer.