Hydropower potential nearly exhausted in Armenia

PanARMENIAN.Net - Armenia's hydropower resources are almost entirely tapped, leaving limited room for expansion, according to Mesrop Mesropyan, Chairman of the Public Services Regulatory Commission (PSRC). Speaking at a session of the National Assembly's Standing Committee on Economic Affairs, Mesropyan stated that only a few additional hydropower plants might be feasible in the coming years, as most suitable sites have already been developed.

As of December 31, 2024, Armenia had 72 operational solar power plants, with another 47 under construction, including the 55-megawatt Masrik-1 plant. Once completed, these facilities will bring the total number of solar plants to 119, with a combined capacity of 577 megawatts.

Mesropyan emphasized that these figures pertain solely to commercial solar power producers. Additionally, rooftop solar installations for personal use have seen significant growth. By the end of 2024, 31,249 independent energy producers were connected to the distribution network, collectively generating 420 megawatts. This capacity increased to 450 megawatts in April 2025.

While this rapid growth is encouraging, it also presents challenges. Mesropyan noted that Armenia now faces serious issues in the solar energy sector that require innovative solutions. The country's energy system is self-sufficient in terms of installed capacity. However, challenges remain in exporting electricity, accessing foreign markets, and developing the necessary infrastructure.

Currently, 60% of Armenia's electricity is generated using imported natural gas, and 30% comes from nuclear fuel. This reliance poses risks, including potential price volatility and supply disruptions. Expanding renewable energy sources like solar power can mitigate these risks, but only if the country avoids unforeseen crises in gas imports and maintains stable prices.