Economy

New Connection Fees for Consumption Systems Reduced by Up to 40% - HEC

New Connection Fees for Consumption Systems Reduced by Up to 40% - HEC

On April 22, 2023, the Public Services Regulatory Commission of Armenia, at the initiative of the "Armenian Electric Networks" (HEC), adopted a decision to reduce the connection fees for new consumption systems to the distribution network by up to 40%, and the fees for increasing electricity capacities or connecting new capacities by up to 55%. This was reported by HEC.

According to the Commission's decision, these changes take effect immediately. "Starting today, when presenting a new application for connection to the distribution network, the reduced rates will apply as previously announced. Please note that as of April 27, 2026, only the newly established connection fees will be applied to applications submitted after that date, which will be stipulated in the connection contracts. At the same time, we inform you that for connection applications submitted until April 27, 2026, the fees will be calculated based on the previous rates, regardless of when the connection contract is finalized and submitted to the consumer," HEC emphasized.

It should be noted that the decision results in the following changes:

  • Connection Fees for Private Homes and 0.22 kV Commercial Consumers:
  • Single-phase (0.22 kV) with 10 kVA capacity:
    • In Yerevan, the current connection fee is 277,000 AMD, according to the decision, the fee will be 166,000 AMD.
    • In other regions of Armenia, the current connection fee is 229,000 AMD, according to the decision, the fee will be 124,000 AMD.
  • With 14 kVA capacity:
    • In Yerevan, the current connection fee is 300,000 AMD, according to the decision, the fee will be 199,000 AMD.
    • In other regions of Armenia, the current connection fee is 234,000 AMD, according to the decision, the fee will be 140,000 AMD.
  • Average reduction of 40%

Connection Fees for Apartments in Multi-Apartment Buildings and Commercial Consumers:

  • For one apartment or commercial consumer with 0.22 kV capacity:
    • 10 kVA capacity:
      • In Yerevan, the current connection fee is 672,000 AMD, according to the decision, the fee will be 406,000 AMD.
      • In other regions of Armenia, the current connection fee is 448,000 AMD, according to the decision, the fee will be 275,000 AMD.
    • With 14 kVA capacity:
      • In Yerevan, the current connection fee is 769,000 AMD, according to the decision, the fee will be 424,000 AMD.
      • In other regions of Armenia, the current connection fee is 520,000 AMD, according to the decision, the fee will be 318,000 AMD.
    • Average reduction of 41%

    Connection Fees for 0.4 kV Commercial Consumers in Multi-Apartment Buildings:

    • In Yerevan, the established fixed costs amount to 300,000 AMD per connection, with a charge of 89,000 AMD per kVA, according to the decision, the fixed costs will be 229,000 AMD, with a charge of 61,000 AMD per kVA.
    • In other regions of Armenia, the established fixed costs also amount to 300,000 AMD per connection, with charges of 42,000 AMD per kVA, and according to the decision, the fixed costs will be 229,000 AMD, with a charge of 28,000 AMD per kVA.
  • Average reduction of 30%

Connection Fees for 0.4 kV Commercial Consumers:

  • In Yerevan, the established fixed costs are 300,000 AMD with a charge of 46,000 AMD per kVA, according to the decision, the fixed costs will be 229,000 AMD with a charge of 16,000 AMD per kVA.
  • In other regions, the established fixed costs are also 300,000 AMD, with a charge of 20,000 AMD per kVA, and according to the decision, the fixed costs will be 229,000 AMD, with a charge of 9,000 AMD per kVA.
  • Average reduction of 55%
  • — HEC has reported.

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