On August 30, a workshop took place on the results of the assessment of the potential for application of incentive mechanisms for double (secondary) water use in Armenia. The assessment was carried out by Environmental Group LLC, within the framework of the “Environmental Protection of Lake Sevan” (EU4Sevan) EU and "National Adaptation Plan to advance medium and long-term adaptation planning in Armenia" (NAP) GCF-UNDP projects, in accordance with the request of the RA Ministry of Environment aimed at the implementation of the RA Water Code.

The importance in implementing of double (secondary) water use in Armenia is enshrined in the Water Code. Because of an increase of water contamination by industry, domestic and other types of use as well as increased demand of water and, at the same time, projected decrease in water resources due to climate change – secondary water use becomes necessary and crucial, especially for Ararat Valley, to meet the irrigation needs and to decrease pressure on Lake Sevan and on different sectors of economy.

Climate forecasts for Armenia predict a continuous increase in temperature and decrease in precipitation in almost the entire territory of the country. Sustainable management of water resources and the implementation of climate change adaptation measures, including solutions for secondary water use, are necessary prerequisites to overcome the challenges of water scarcity.

This report provides the identification of the gaps and possible reform options for improving environmental or water abstraction fees and economic mechanisms to establish financial incentives for double (secondary) water use. Besides the above-mentioned, this study comprises recent developments in the country and at international level, with a focus on identified policy, legal and institutional deficiencies, economic barriers, and risks related to facilitation for double (secondary) water use in Armenia.

In her speech, Deputy Minister of Environment Gayane Gabrielyan highlighted the importance of secondary water use especially given the recent amendment of the RA Water code which stipulates double use of water. She stressed that the amended Code has to help bring Armenia to a new quality water use platform, as secondary water use is very important from the financial, economic, and environmental perspectives.

EU4Sevan UNDP project coordinator Astghik Danielyan welcomed the participants of the workshop and highlighted the importance of the study from the perspective of efficient management of RA water resources which will have its effect from the perspective of the Lake Sevan problems conquering. She also noted that the implemented study complements the Water sector Adaptation Plan and priority measured developed earlier in the frame of UNDP-GCF Armenia’s National Adaptation Plan Project. Ms Danielyan concluded that Environmental Group LLC had been working closely with the respective subordinate bodies of the Ministry of Environment and other stakeholders during the assessment process, to ensure that the final product meets the raised needs.

The workshop was concluded with the mutual understanding that the final product is an applicable document which will serve as basis for the RA Ministry of Environment for developing respective policy and legislative regulations toward fostering double (secondary) water use in Armenia.

The "National Adaptation Plan to advance medium and long-term adaptation planning in Armenia" project implemented by the UNDP with financing from the Green Climate Fund is coordinated by the RA Ministry of Environment.

The Project “Environmental Protection of Lake Sevan” (EU4Sevan) is co-funded by the European Union (EU) and the German Federal Ministry for Economic Cooperation and Development (BMZ). It is part of the BMZ-funded programme “Management of natural resources and safeguarding of ecosystem services for sustainable rural development in the South Caucasus (ECOserve)․” The project is implemented by GIZ and the United Nations Development Programme (UNDP).

Draft report can be found here