Armenia electricity prices. The residential electricity price in Armenia is AMD 43.480 per kWh or USD 0.112. The electricity price for businesses is AMD 42.480 kWh or USD 0.110. These retail prices were collected in March 2024 and include the cost of power, distribution and transmission, and all taxes and fees.
Armenia fuel prices, electricity prices. The table below shows the most recent prices per liter of octane-95 gasoline, regular diesel, and other fuels. These are retail (pump) level prices, including all taxes and fees. The information is updated weekly. The next table shows the electricity rates per kWh. In the calculations, we use the average
In 2021, Armenia produced 7.7 TWh of electricity, of which natural gas covered 44% (3.4 TWh), hydro and other renewables 30% (2.3 TWh) and nuclear 26% (2.0 TWh). In the Caucasus region, Armenia is the only country producing nuclear energy.
On Tuesday, February 1, 2022, an increase in the cost of electricity for residential consumers in Armenia came into effect. The rates had been set by a decision of the Public Services Regulatory Commission (PSRC) on December 29, 2021.
Армения, март 2024: Домохозяйства: Цена USD за kWh. Средняя цена в
Armenia, marzo 2024: Famiglie: il prezzo è USD per kWh. Il prezzo medio nel
Jermenija, март 2024: Домаћинства: Цена је USD по kWh. Просечна цена у свету
Armenië, maart 2024: Huishoudens: De prijs is USD per kWh. De gemiddelde
Armenia, maaliskuu 2024: Kotitaloudet: Hinta on USD/kWh. Keskimääräinen
Armenia, marsz 2024: Gospodarstwa domowe: cena wynosi USD za kWh.
On Tuesday, February 1, 2022, an increase in the cost of electricity for residential consumers in Armenia came into effect. The rates had been set by a decision of the Public Services Regulatory Commission (PSRC) on December 29, 2021. These decisions used to be made in the summer but, since 2016, have been taken just prior to New Year and Christmas festivities, in the middle of winter, when cold weather and social obligations keep the public''s attention elsewhere.
Back in June 2015, a 16.6% price hike sparked the Electric Yerevan protests that blocked traffic on Baghramyan Avenue, where the National Assembly and Presidential Palace are located; it is a key artery leading to Downtown Yerevan from its northern suburbs. That movement attracted international attention after the government used water cannons to disperse the protesters. As a result of the protests, the privatized electricity distribution company Electric Networks of Armenia (ENA) was sold by Inter RAO (a company partially owned by the Russian state) to Tashir Group (controlled by Russian-Armenian businessman Samvel Karapetyan). The price hike was subsidized before ultimately being scaled back.
Figure 1 details how the price of electricity in Armenia has evolved over the last decade. The 16.6% increase in 2015 had compounded over a 10.1% increase the previous year. As the post-protest subsidization plan ended, the price eventually settled at 44.98 AMD/kWh ($0.09/kWh) on February 2, 2017, where it was kept frozen for four years. Also in 2017, a new tariff category was created so that socially vulnerable families, i.e. those facing poverty, would receive a discount. About one in ten customers currently fall into this category.
It is worth mentioning that the prices being discussed are those that apply to daytime usage. Customers who have an updated meter that can track time of use get a 10 AMD/kWh discount between the hours of 11 p.m. and 7 a.m. from November to March, or between 10 p.m. and 6 a.m. from April to October.
Thus, 2022 marks the first electricity price increase that will apply to the average middle-class consumer (the middle 80%) since the 2015 Electric Yerevan aftermath. A new consumption tier was added to differentiate between customers who use more or less than 200 kWh/month. Those who can keep their consumption below this threshold will only experience a 3.3% increase; those using between 200 and 400 kWh/month will be hit with a 7.8% increase. Those consuming more than 400 kWh/month, the tier that was created last year, will experience an 11.5% increase; they are most likely to live in the largest homes.
The PSRC announcement says that ENA has until January 25, 2022 to inform customers about changes to their supply contracts that enable the new approach; however, no one contacted for this story reported receiving any such notification. Unlike in North America, utilities in Armenia don''t mail out paper bills (to which a notice of changes to their terms of service could be easily attached). It is up to each customer to report to the Post Office between the 10th and 20th day of the month to check how much is due and make the payment. Third-party payment terminals and mobile banking apps also allow utility payments to be made more conveniently but don''t break down the components of the amount due in as much detail.
Electricity is not the only utility getting more expensive. The price of water was increased by 11.4% on January 1, 2022. Prior to 2017, a number of different regional water companies operated throughout the country. These operations were taken over by Veolia, a French company, which won a contract to manage all of Armenia''s drinking water and wastewater until 2030. Figure 2 shows how the price of water has evolved since then.
The cost per cubic meter of water supplied went up 5.7% on January 1, 2017, from 170 AMD to 180 AMD, when Veolia took over the operations of Yerevan Water. Veolia''s supply contract entitled it to request further price adjustments as pre-determined underlying assumptions changed. On January 1, 2018, these calculations led to a 6.3% increase to 191 AMD/cubic meter; however, end-consumers continued to pay 180 AMD/cubic meter, with the remainder being subsidized by the state budget.
For 2020 and 2021, initial assumptions about the volume of water supplied were reassessed and revised down. As a result, the official price was reduced to 180 AMD, eliminating the need for subsidization from the state budget and resulting in no change for end-consumers.
For 2022, however, Veolia applied for a price increase to 223.7 AMD/cubic meter, which would have represented a 24.3% annual increase. The PSRC did grant an increase in the amount that end-consumers will pay, the first since 2017, but limited it to an 11.4% increase at 200.47 AMD/cubic meter, less than Veolia was asking for. In addition, families that qualify as "socially vulnerable" will continue to pay the previous tariff of 180 AMD and not be affected by the increase. The changes have been in force since January 1, 2022.
Gazprom Armenia has also applied for an increase in the price of natural gas. The PSRC has begun reviewing the application and, if accepted, the new price will come into force on March 15, 2022.
At a February 1, 2022 rate announcement press briefing, Central Bank Chairman Martin Galstyan said that the impact of increases in the price of water and electricity on overall inflation can be expected to be in the range of 0.6%. That is, overall inflation in the country will be higher by 0.6% in 2022 than it would have been if these utility price increases were not enacted.
The Statistical Committee of Armenia (ArmStat) reported year-on-year inflation in December 2021 at 7.7%, with the "Food" category clocking in at 13.2%. While these figures should raise eyebrows, there are also mitigating factors to consider. Inflation also hit 7% in the U.S. in December 2021, a level not seen in that country since the 1980s. Higher prices are a global phenomenon, not restricted to Armenia.
Also, December actually marked a welcome reduction in year-on-year inflation in Armenia, compared to its level of 9.6% in November 2021 (17.4% for food). Inflation had been climbing steadily since June 2021; December''s numbers are the first indicator that the trend may have reversed and will begin returning to the Central Bank''s target rate of 4%.
About Armenia electricity rates
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