Wednesday, 4 October 2006
Today the Board of Trustees of Renewable Energy and Power Supply Fund of Armenia has met, presided at Board of Trustees Chairman, Republic of Armenia Prime Minister Andranik Margaryan.
The Board has heard the report submitted by Fund Executive Director Tamara Babayan on the course of performance of work for providing capital grants to poor families as carried out within the framework of the town heating program, gas and heat supply in accordance with the contract signed on April 28, 2006 between the Global Partnership of Effective Help and the Fund. It was noted that according to the public opinion survey conducted in 2004-2005, nearly 31% of urban households used fire wood for heating purposes, 30% - electricity and 30% - gas. The poorest families (about 6-7% of total households) enjoyed no heating at all and some 36% used heating devices of domestic manufacturing. It was emphasized that some types of heating used by poor families often represented certain danger to life and health of people and the environment. In the information it was stressed that the World Bank and the Republic Armenia signed an agreement on July 20, 2005, which inter alia pursued the goal of rendering assistance to the Government of Armenia in addressing the heating problems of poor families. According to the agreement, those vulnerable families residing in blocks of flats would receive grants under a town heating program component. With the same purpose, the Global Partnership of Effective Help had allocated additional funds through the program gas and heat supply. The agreement between the Global Partnership of Effective Help and the Renewed Energy and Power Supply Fund of Armenia was signed on July 23, 2006. The town heating program component and the Fund on July 13, 2006, for realization of the program of gas and heating supply by Global Partnership of Effective Help, also signed an agreement with ArmRosGasprom Joint-Stock Company, which was aimed at the maintenance of availability of gas supply and heating services for poor households living in blocks of flats, by means of connection of their apartments to the gas network or installation of individual gas heaters. Those letters concerning the provision of capital grants had been directed to all marz the governors and the heads of urban communities. As of January1, 2006, RA Ministry of Labor and Social Affairs had made up a list of blocks-of-flats residing poor families. According to the Executive Director, to date the Fund had received over 1500 applications of which 1000 were processed. 535 applications had already been processed in Hrazdan and Idjevan towns and the ones received from poor families of Vanadzor, Alaverdi, Sisian and Sevan were in process of processing. Based on the information submitted, the Board of Trustees approved the list of poor families from Hrazdan and Idjevan which met the program criteria (305 households altogether).
It was also mentioned that for the first 6000 inhabitants the consent of the World Bank concerning the contract of realization of design works and the technical control over ArmRosGasprom JSC by means of purchase from one source received and after the statement of Board of Trustees, the Fund will make the contract.
The meeting also discussed questions bearing on Global Partnership of Effective Help-sponsored town heating, renewable energy, gas supply and geothermal power heating programs for the period 2006-2007. Similarly approved was the text of invitation to representation of the shortlist of bidders for realization of Fund program and management audits.
The Board of Trustees has also endorsed the submitted report on performance of decisions and assignments given at previous sessions. The importance of school heating has been underlined in particular. It was reported that 32 general schools had already concluded contracts on preparation of design - budget documents for the systems of heat supply with the organizations selected for performance building and installation work, which according to the contracts would be completed in 2006, and the specified schools were due to be heated this winter. All regional administrations were told to draw up the lists of schools in need of heating. The Prime Minister instructed to compare them with the list of schools heated by means of the State budget in order to include in the Fund allocations those schools not covered by corresponding budget programs.
