Important Legal Notice
The information below is based on a draft amendment to the Law of the Republic of Armenia “On Energy”.
This draft has not yet been adopted and may:
- be rejected, or
- be adopted with amendments.
This article describes a possible scenario only if the law is passed in its current form.
Starting from May 1, 2026, significant changes may enter into force in Armenia’s solar regulation framework, affecting residential and commercial self-generation systems.
If adopted, the draft law would modify how solar systems are financially settled and how excess electricity is compensated.
Net Metering vs Net Billing: What Is the Difference?
Under the draft, self-generators are divided into two categories.
Net Metering
Applies to:
- All systems up to 15 kW
- Certain public and municipal institutions
Electricity is balanced on a monthly basis.
Excess production is compensated at the minimum wholesale market price.
Net Billing
Applies to:
- Systems above 15 kW
- Most private systems above 50 kW
Electricity is settled on an hourly basis.
Production and consumption are no longer fully offset.
Capacity Limits
If the draft is adopted:
- Maximum self-generation per connection point: 25 kW
- Maximum capacity for a self-generation group: 1050 kW
Transitional Timeline (According to the Draft)
The draft includes long transition periods depending on the contract signing date.
| Contract Year | Net Metering Until | Net Billing Until |
|---|---|---|
| Before 2022 | May 2030 | May 2027 |
| 2022–2023 | May 2031 | May 2028 |
| 2023–2024 | May 2032 | May 2029 |
| 2024–2025 | May 2033 | May 2030 |
| 2025–2026 | May 2034 | May 2031 |
This means that systems installed before May 1, 2026 could retain the current regime for 5–9 additional years.
Systems Above 50 kW
If adopted as drafted:
- Public systems above 50 kW that sign contracts before May 2026 remain under net metering.
- Most private systems above 50 kW move to net billing.
What Consumers Should Do Now
Since this is still a draft:
- Monitor the legislative process.
- Avoid making decisions based on assumptions alone.
- Choose a solar system based on installer quality.
Conclusion
These changes are not yet confirmed.
However, if adopted, Armenia’s solar market would move toward:
- market-based pricing,
- more realistic financial modeling,
- and professional energy accounting.
The correct approach today is not panic –
it is informed decision-making based on verified data.
Published 29/01/2026
Updated 02/02/2026