Meeting of the Board of Trustees of the Energy and Energy Efficiency Fund of Armenia (RA Government) - 2006-02-24
1. The report on implementation of the assignments of the previous meeting was discussed and approved.
(Speech made by T. Babayan, Manager of the Fund)
2. Issues on ensuring efficient heat supply of multi-apartment buildings and municipal heating.
(Speech made by D. Harutyunyan, Armenia Improving the Energy Efficiency of Municipal Heating and Hot Water Supply Project Manager)
3. Related other current issues.
Andranik Margaryan, Prime Minister, Board Chairman
Regarding the first issue of the agenda T. Babayan reported that the assignments of the previous meeting were mostly completed. Particularly, the procedures for provision of information on the progress of Apartment Heating Project for the meetings of the Board of Trustees, cooperation with the Fund for coordination of projects, as well as submission of discussion outcomes to the Board have been agreed with the representatives of the US Agency for International Development.
Among other issues planned by the Agenda, the representative of the US Agency for International Development, Gagik Hovhannisyan, presented the Apartment Heating Project, the overall goal of which is to support the implementation of the municipal heating strategy adopted by the RA Government in 2002, analyze and recommend more effective and accessible options for heating apartments of different regions of the Republic of Armenia. As mentioned by the USAID representative, the Project will also assist in addressing a number of institutional issues, which will promote efficient and transparent management of heating systems, improving the quality of services provided to consumers and taxation mechanisms, creating a sustainable trade market for heat energy and increasing the level of public awareness. The Project will closely cooperate with the World Bank, UN Development Program, respective ministries of the Republic of Armenia integrating also the Armrusgasprom Company, non-governmental organization and heat suppliers in addressing the issues.
The UNDP/GEF Armenia Improving the Energy Efficiency of Municipal Heating and Hot Water Supply Project Manager, Diana Harutyunyan, made a presentation on the progress of Project implementation. She mentioned that after the commencement of the Project in June 2005, the Project Steering Committee has been established from the candidates proposed by stakeholder ministries, international and local organizations, an assessment of the current status of the heating systems has been carried out, the process of implementation of the heating strategy, the institutional and regulatory changes, as well as the outcomes of the implemented pilot projects have been analyzed. During the last few months the data bank of the condominiums interested in heating system restoration has been created, which is constantly being updated. The new structure of the Project website has been designed, and a trilingual dictionary on heating sector has been developed. For strengthening the role of condominiums and organization and management of heating services in certain buildings, a subcontracting company- the National Association of Condominium Owners (NACO) has been selected on competitive basis with four partner organizations. The Advisory Centre has started its operation since December, 2005. As a result of the discussions with stakeholders, two communities, Avan and Davidashen, have been selected as piloting options for restoration of the centralized systems of heat and hot water supply.
A Memorandum of Agreement has been signed between the UN Development Program and the Yerevan Municipality. The detailed work-plan coordinating the works of 2006 has been developed and is in the stage of approval. Diana Harutyunyan mentioned that the main goal of the Project is to reduce greenhouse gas emissions resulting from current heat and hot water supply practices in Armenian cities by laying a foundation for sustainable development of those services, at the same time, taking into account the global environmental impacts. Within this framework, the Project also aims to strengthen the role of the mentioned services, support the restructuring of the heating sector enterprises and the capacity building thereof, promote the dissemination of gained experience, and support the organizations providing energy services and local producers etc.
It was also mentioned that together with the specialists of the Yerevan Project CJSC, the Feasibility study for ensuring efficient heat and hot water supply of the multi-apartment buildings of the Republic of Armenia was conducted, which was presented to the attention of the Board of Trustees as well. As a priority approach for sector, development, the concept of restoration and development of centralized heat and hot water supply through the use of small and medium capacity stations and co-generation of power and heat energy was presented to the attention of the Board of Trustees.
The Board discussed the economic justifications of the concept and related issues. The participants of the discussion were assigned to discuss their positions, concerns and suggestions with the above-mentioned Project representatives within a two-week period and clarify the responses.
Developed according to the official note of the RA Government. (24.02.06)
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