Armenia

Armenia has prioritized the use of renewable energy resources for its energy security. However, development is hindered by a lack of regulatory incentives, limited capacity for equipment acquisition and installation, weak technical capacity among local financiers, and underdeveloped local markets.

INVESTING IN ARMENIA

With $40 million in low-cost financing from the SREP, Armenia aims to reduce the cost of renewable energy technologies that lie at the threshold of competing with the expected future cost of generation. For technologies such as geothermal power and utility-scale solar PV, pioneering projects backed by the SREP will help to reduce resource and

performance risks, develop local markets and expertise, and provide the government the impetus and opportunity to achieve reforms—in particular, appropriate tariffs. As experience increases, project development costs are expected to decline, and for some technologies, such as solar PV, local production may also emerge.

facts about armenia

Armenia has no proven oil or natural gas reserves and imports all its fuel for thermal generation from Russia and Iran

50%

of available capacity is over 40 years old

Projects in Armenia

NAME FUND FUNDING (USD MILLION) COFINANCING (USD MILLION) MDB
  Development of Geothermal Heat Pumps and Solar Water Heaters FUNDScaling Up Renewable Energy Program in Low Income Countries COFINANCING (USD MILLION) 3.00 FUNDING (USD MILLION) 20.00 MDBEBRD  
  Geothermal Exploratory Drilling Project (GEDP) FUNDScaling Up Renewable Energy Program in Low Income Countries COFINANCING (USD MILLION) 8.55 FUNDING (USD MILLION) 108.60 MDBIBRD  
  Private Sector Utility Scale Solar Power Support Project FUNDScaling Up Renewable Energy Program in Low Income Countries COFINANCING (USD MILLION) 26.00 FUNDING (USD MILLION) 124.00 MDBIBRD  

TRANSFORMING VISION INTO ACTION

The CIF programmatic approach to investment planning and implementation brings strategic value to CIF recipient countries. Working through a transparent, country-led process, the CIF fosters trust and collaboration among government ministries, civil society, indigenous peoples, private sector, and the MDBs that implement CIF funding. Together, they translate Nationally Determined Contributions and other national development and climate strategies into an actionable CIF investment plan. Rather than one-off projects, the plan comprises long-term, sequenced investments that mutually reinforce each other and link to other critical activities, such as policy and regulatory reform and capacity building. Under national government leadership, CIF stakeholders continue to work together to implement the plan, continually assessing progress and sharing lessons learned along the way.