Meta Data
Title in national language: 
ՀԱՅԱՍՏԱՆԻ ՀԱՆՐԱՊԵՏՈՒԹՅԱՆ ՕՐԵՆՔԸ ԷՆԵՐԳԵՏԻԿԱՅԻ ՄԱՍԻՆ (ՀՕ-148 21 մարտի 2001թ)
Draft: 
No
Revision of previous policy?: 
No
Draft Year: 
2001
Effective Start Year: 
2001
Scope: 
National
Document Type: 
Law
Economic Sector: 
Energy, Power
Energy Types: 
All, Power, Gas
Issued by: 
Office of the President of the Republic of Armenia
Notes: 
Unofficial translation into English
Overall Summary: 
The policy establishes an all-encompassing framework for the regulation of energy sector in the Republic of Armenia. The objective of this Law is the establishment of the government policies in the energy sector and the mechanisms for their implementation.
Access
Energy access priorities: 
A Distribution Licensee must supply energy (electricity, natural gas, or thermal power) to every consumer in its service territory who has met the requirements of the Service Regulations and Usage Rules approved by the Commission.
Efficiency
EE priorities: 
Efficient use of domestic energy resources and alternative sources of energy and implementation of economic and legal mechanisms for that purpose.
EE action plans: 
The basic principles of setting tariffs for electric and thermal energy and natural gas, as well as sizes of payments for rendered services are as follows: [...] 4. Establishment of differentiated tariffs for customers dependent on the consumption volume, requested capacity, season, time of day use, connection terms, type of service.---The consumption of electrical and thermal energy and natural gas shall be measured by metering devices that comply with conditions coordinated with the Commission and established by the technical regulations and /or using calculation methods approved by the Commission.
Environment
Energy environmental priorities: 
Ensuring the protection of the environment;
Pollution control action plans: 
The basic principles of setting tariffs for electric and thermal energy and natural gas, as well as sizes of payments for rendered services are as follows: [...] 6. Inclusion of justified costs related to compliance with environmental norms;
Land use change for energy production purposes: 
Conservation and the sustainable use of land resources are among the crucial priorities of Armenian legislation.---Land Use Right for Generating Capacities, Power Networks and Installations: 1. The provision of state-owned land, bodies, for construction of new generating facilities, transmission (transportation) networks, installations as well as for construction and reconstruction (extension) of the existing ones, shall be based on a priority right and in accordance with the defined procedures under the law, [...]. The paths and safety zones provided for construction of overhead [air] and cable lines, as well as natural gas and thermal power networks shall comply with the requirements of technical regulations.[...] 3. In case of the liquidation of the energy installation, the owner is obliged to restore or improve the land (area), according to procedures set out by law.
Pricing
Energy pricing: 
The basic principles of setting tariffs for electric and thermal energy and natural gas, as well as sizes of payments for rendered services are as follows: 1. Providing for compensation of justified operation and maintenance costs, as well as the depreciation allocations of the fixed assets and non-material assets essential for the conduct of the Licensed Operation in compliance with the License provisions. 2. Providing the opportunity for reasonable profit. 3. Inclusion of justified loan service costs. 4. Establishment of differentiated tariffs for customers dependent on the consumption volume, requested capacity, season, time of day use, connection terms, type of service. 5. Inclusion of justified and essential insurance costs. 6. Inclusion of justified costs related to compliance with environmental norms. 7. Inclusion of justified mothballing and preservation costs of the installations subject to mothballing in conformance with the RoA Government Energy Development Program. 8. Inclusion of necessary burnt fuel maintenance costs and ensuring allocations to Nuclear Plant Decommissioning Fund. 9. Inclusion of justified technical and reasonable commercial losses. 10. Inclusion of other justified and necessary costs as provided by the Legislation.
Energy Supply and Infrastructure
Energy supply priorities: 
Increasing the energy independence of the Republic, including ensuring the maximum utilization of generating capacities and differentiation of domestic and imported energy resources.---For certain military facilities having vital defense significance for the safety of the Republic of Armenia, the Commission may develop separate options of energy and gas supply. The list of such facilities shall be approved by the Government of the Republic of Armenia.
Investment
Energy sector investment priorities: 
Encouragement of investments in the energy sector;
Investment climate development: 
Enhancement of competition and efficient operation in the energy sector and creation of essential conditions for the development of a competitive environment; ---Encouragement of investments in the energy sector;---Ensuring transparency of the licensed operations in the energy sector; ---2. Encouragement of the formation and development of energy markets;
Governance
Energy management principles: 
Separation of the generation, transmission, distribution, export, import, System Operator functions and functions of service provision to the power market. ---Nuclear Energy is a state monopoly.
Energy institutional structures: 
Regulation of the Republic of Armenia’s energy sector is carried out by the Energy Regulatory Commission of the Republic of Armenia (hereafter referred to as Commission), which acts pursuant to authorities vested in the Commission by this Law, and is independent within its jurisdiction.
Technology
Clean energy technology priorities: 
Encouragement of scientific-technical progress and integration of new energyefficient and energy-saving technologies, as well as encouragement of personnel training and re-training.