YEREVAN, MAY 16, NOYAN TAPAN. State budgetary expenditures in the electric power sector made 28.1 bln drams in 2007 instead of the envisaged amount of 4.1 bln drams and exceeded 2006 expenditures by 24.5 bln drams. The overfulfilment of the budgetary program and the growth of financial resources as compared with the previous year was mainly conditioned by a high index of the implementation of the program on construction of a steam-nad-gas power unit with a combined cycle with the assistance of the Japanese government. The minister of energy Armen Movsisian stated this at the May 16 discussion of the 2007 state budget's execution in the parliament. The Yerevan Thermal Power Plant's steam-and-gas unit currently under construction will have 100% microprocessor control, a fully automated start and shutdown system and a high flexibility of equipment. The program is scheduled to finish in 2010. The expenditures under the program on restoration of power transmission lines and distribution networks with the assistance of Japanese government amounted to 132.6 mln drams instead of envisaged 301 mln drams. 632 mln and 147 mln drams was actually spent instead of 535.5 mln drams and 337 mln drams respectively which were envisaged by the World Bank-sponsored credit and grant programs on renewable energy. In nuclear energy, 717.9 mln drams was envisaged by the state budget for construction of a storage for spent nuclear fuel of the Armenian Nuclear Power Plant, with this sum being fully spent. The construction of the storage will allow to operate safely the 2nd power unit of the ANPP. According to the minister, about 60 small hydropower plants have been built in Armenia in the past 3-4 years, and they generate energy of a total of 250 mln kwh. Another 60 small hydropower plants are being built, and their operation will ensure production of 500 mln kwh, which will enable to meet 10-12% of the country's demand. A. Movsisian said that in Armenia, wind power and geothermal energy have great potential for development. As for solar energy, it may be used for household needs.

---