EBRD and donors support government plans to modernise waste management
The European Bank for Reconstruction and Development (EBRD) is providing a €3.5 million loan to the Republic of Armenia to finance the construction of the first EU compliant solid waste landfill in Armenia. The loan is complemented by capital grant financing of €3.5 million provided by the European Union Neighbourhood Facility.
The new landfill, to be located in the city of Hrazdan in Kotayk county and managed by eight participating municipalities of Hrazdan, Abovian, Charentsavan, Tsakhkadzor, Byureghavan, Yeghvard, Nor Hachn and Sevan, will be operating as a commercially sustainable unit with modern solid waste management systems, covering the collection and disposal of municipal solid waste. This will provide major environmental and social benefits for some 215,000 people in the area covered by the facility.
The Legal Agreements were signed today in Yerevan by the Minister of Finance of Armenia, the participating Municipalities, and the EBRD.
The development represents a significant step forward in the implementation of the government’s plans to modernise and upgrade Armenia’s waste management system to European standards. It will serve as an example raising public awareness of the importance of solid waste management.
On top of EBRD and EU financing the investment has received grant funding from donors. The Government of Austria will support the implementation of the project and the corporate development of the landfill management company. Additional grant funds are provided by the EBRD’s Shareholders’ Special Fund and the Early Transition Countries Fund.
Mark Davis, Head of the EBRD’s Yerevan Office, said “The investment will bring substantial benefits to the residents and the environment in the region and will help to develop better public awareness of the benefits of recycling. We are grateful for the strong support from our donors for whom, as it is for us, environmental protection and upgrades have always been a priority.”
Since the beginning of its operations in Armenia in 1992, the EBRD has invested over €650 million in 133 projects in the country’s financial, corporate and energy sectors, and infrastructure, with 87 per cent of the investments in the private sector.