Wedoany.com Report-Apr. 13, Armenia and the UAE have finalized plans to start building the "Ayg-1" industrial-scale photovoltaic solar power plant in Armenia in early 2026. This milestone follows productive discussions between Armenian Minister of Economy Gevorg Papoyan and MASDAR CEO Mohammed Jamil Al-Ramahi during a working visit to the UAE. The Armenian Ministry of Economy’s press service announced that both sides approved a detailed roadmap for the project’s next steps.

The negotiations received positive feedback from all involved, with a mutual commitment to deepen collaboration. The agreement for the plant’s design, financing, construction, and operation was originally signed with MASDAR, an Emirati company, in November 2021. Located in the Talin and Dashtadem communities of Armenia’s Aragatsotn region, the 200 MW solar facility will span 500 hectares. The project carries an estimated investment of $174 million.

MASDAR, a subsidiary of the UAE’s Mubadala Investment Company, will lead the effort. Initially, 15% of the plant’s ownership was allocated to Armenia’s ANIF fund, established in 2019 to encourage foreign investment through public-private partnerships. However, the fund was dissolved in August 2024 after financial irregularities were discovered in its accounting records.

During the UAE talks, Minister Papoyan and CEO Al-Ramahi emphasized the project’s importance. Al-Ramahi stated: “This collaboration reflects our shared vision for sustainable energy development.” The plant is expected to strengthen Armenia’s renewable energy capacity while fostering economic ties with the UAE. Both nations view "Ayg-1" as a step toward advancing clean energy solutions.

The initiative aligns with broader efforts to enhance energy infrastructure in Armenia. Construction timelines remain on track for the 2026 start, with preparations progressing as outlined in the roadmap. The project’s scale and investment underscore its significance for the region, promising long-term benefits in energy production and international partnership.