EDB provides $26 million for construction of new power generation unit at Hrazdan TPP in Armenia

ArmInfo. The Eurasian Development Bank (EDB) will provide US $26 million for the construction of a new power generation unit at the Hrazdan thermal power plant in Armenia. The loan agreement was signed with H Energy Solutions (Tashir Group).

As the Bank's press service reports, the 50 MW power unit is expected to generate approximately 400 million kWh of electricity per year. It will employ modern and highly efficient equipment that meets international environmental standards, contributing to environmental protection.  The electricity generated by the new unit will be supplied to Armenia's free competitive power market and exported to other countries.

The project will help to further diversify power generation in Armenia and enhance its efficiency.  The plant is set to be commissioned in mid-2024.

This collaboration between the EDB and Tashir Group is the second project aimed at improving energy security in Armenia. In August 2022, the Bank agreed to finance infrastructure modernisation and the manufacturing of metering devices as part of a programme to implement international management standards and automated metering systems in Armenia. The EDB provided US $30 million for this purpose under a loan agreement. Additionally, the project expands the production of electricity metering devices in Yerevan.

As part of its 2022-2026 Strategy, the EDB places special emphasis on smaller economies. Since Armenia joined the Bank in 2009, the EDB has implemented 24 projects in the country, totalling approximately US $508 million. This includes six initiatives, worth US $126 million, in agriculture, energy, and the financial sector during 2022 and 2023.

The Eurasian Development Bank (EDB) is an international financial institution promoting integration and development in its member countries. For more than 17 years, the Bank has worked to strengthen and expand economic ties and foster comprehensive development in its member countries - Armenia, Belarus, Kazakhstan, the Kyrgyz Republic, Russia and Tajikistan. The EDB's charter capital totals US $7 billion. Its portfolio consists principally of projects with an integration effect in transport infrastructure, digital systems, green energy, agriculture, manufacturing, and mechanical engineering.  The Bank's operations are guided by the UN Sustainable Development Goals and ESG principles.