Government Provides Subsidy to Veolia Water Company to Prevent Price Increase

The government made a decision at its meeting today, March 16, to provide a subsidy to Veolia Water LLC aimed at softening the tariffs for drinking water supply and wastewater (sewage treatment) services.

As a result of the subsidy, consumers in Armenia will continue to pay 200 drams for 1 cubic meter of water this year, instead of the 208 drams.

The state budget of Armenia for 2023 has allocated 1.1 billion drams for this purpose, covering drinking water supply and wastewater services from January 1 to November 30, 2023. The commission has approved the retail tariffs for drinking water supply and wastewater services provided by Veolia Water LLC to its subscribers, which state that the tariff for socially vulnerable consumers will remain unchanged at 180 drams in 2023, while for other subscribers it will be 208.419 drams.

The Armenian government will neutralize the tariff increase through appropriate subsidies. Consequently, the price of drinking water for consumers will not increase in 2023.