The Seventh Meeting of BOT of Armenia Renewable Resources and Energy Efficiency Fund was held on July 28, 2008. During the meeting, the draft concept on heating sector reforms developed within the frame of UNDP/GEF “Armenia. Improving the Energy Efficiency of Municipal Heating and Hot Water Supply” Project, the necessity of heat supply sector regulation, main issues and current development opportunities were discussed. The meeting mentioned that taking into account importance of state assistance for providing district heating of residential areas, the necessity incurred to carry out legislative reforms, particularly specify price formation principles thus promoting efficient and environmentally friendly heat supply rehabilitation and stabile development, identify the frame of activities of state and local self-governmental bodies in maintenance, rehabilitation of heat supply systems, design, construction, operation of new systems. In addition, parallel development of individual heating and centralized heating was discussed. One of the important issues refers to “Natural Gas Price Formation Policy Promoting the Heat Supply Rehabilitation” developed by the group of experts UNDP/GEF “Armenia. Improving the Energy Efficiency of Municipal Heating and Hot Water Supply”. The meeting gave importance to natural gas tariff system and related consumers classification principle according to consumption sector, annual volume, gas pressure at the connection point etc. The BOT members discussed submitted material and proposed to edit Heating Sector Reforms Concept taking into account the documents related to energy development strategy approved by the GoA of the RA.

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