YEREVAN. – Next year, the Government of Armenia will allot 1 billion and 43 million drams (about US$2,187,300) for the rehabilitation of the substation of the Yerevan Thermal Power Center (YTPC).

The aforesaid is stated in the country’s 2017 State Budget draft, whose committee discussions continue Monday in the National Assembly.

Within the framework of the ongoing project toward improving the electricity transmission network of Armenia—and which is implemented with assistance by the International Bank for Reconstruction and Development (IBRD), rehabilitation of YTPC, which accounts for 20 percent of total annual electricity generation in Armenia, will help reduce the incidence of equipment failures.

The overall cost of meeting the electricity demand in the country will significantly increase if it is disconnected from the grid due to failure of its substation. The substation was commissioned in 1965, and has not been rehabilitated since then. Therefore, it is essential for ensuring adequate and low-cost electricity supply to all of the 1,040,000 electricity consumers in the country

The abovementioned project also envisions rehabilitation of the Ashnak substation through replacement of all key equipment, and this will help reduce the number and duration of equipment failures caused by technical reasons, and, thus, improve the reliability of power supply for almost 120,000 electricity consumers. The Ashnak substation was commissioned in 1983 and has undergone no major rehabilitation since then.