There is a wise solution

Currently the contribution of renewable energy resource in Armenia is negligible. A number of small hydro power plants and one pilot wind power plant are under operation with less than 2% of contribution in total electricity generation. At the same time, the electricity generation potential only from small hydro and wind power plants in Armenia is estimated over 2 billion kWh/year. Having said that one should expect that contribution of small hydro power plants (with 10MW capacity and less) and wind power plants in Armenia can contribute about 20% of total electricity generation by 2025. The potential of solar energy in Armenian is significant. The average solar irradiation in Armenian is assessed at 1,760 kWh/sq. m. Thus, solar thermal energy applications can contribute in heat and hot water supply sufficiently.

1.2 Challenges renewables face with

Despite some undertakings have been taken by the government of Armenia to promote renewable energy development in Armenia since 2001, realization of renewable energy projects face with real challenges. In grid connected projects the major obstacle for private and foreign investments are tariffs which are not attractive to finance projects; this is especially true in case of wind energy. In thermal energy applications, such as solar energy, the main obstacles are subsidized natural gas prices and nuclear energy. Finally, one of the real obstacles is the lack of public awareness and proper education in renewable energy and benefits it can offer to the public and the state such as reliance on own energy resources, independency on imported fuel and international prices, environmentally friendly technologies and increased energy security. Moreover, there is a lack of familiarity in terms renewable energy, green energy and clean energy.