EBRD and EU-Funded Program Propel Alaska Hotel’s Sustainability Drive in Tsaghkadzor, Armenia, with Solar Investment

EBRD and EU-Funded Program Propel Alaska Hotel’s Sustainability Drive in Tsaghkadzor, Armenia, with Solar Investment

(IN BRIEF) Nestled in Tsaghkadzor, Armenia’s popular health resort, the Alaska Hotel is attracting visitors with its renowned Armenian hospitality and a commitment to sustainability. With support from the European Bank for Reconstruction and Development (EBRD) and the European Union (EU), the hotel invested in solar energy, reducing bills, fostering environmental protection, and enhancing guest experiences. The hotel’s solar project, backed by EBRD’s partner financial institution, Inecobank, aligns with Armenia’s plans to increase solar power usage and demonstrates the potential of private sector engagement in sustainable energy. Through initiatives like the EU4Business-EBRD credit line, local businesses like the Alaska Hotel can access financing and technologies to drive growth while contributing to environmental preservation. With a focus on preserving nature and providing memorable experiences, the Alaska Hotel is poised for success in Tsaghkadzor’s thriving resort scene.

(PRESS RELEASE) LONDON, 7-Mar-2024 — /EuropaWire/ — The Alaska Hotel is nestled in the mountain town of Tsaghkazor, Armenia’s most popular health resort, with a population of just 1,700 people. While many eagerly await the arrival of spring and, with it, the warmer weather, ski enthusiasts can still enjoy the slopes here well into March, and occasionally even April, much to the delight of visitors.

“We are so pleased to help our guests discover the wonders of Tsaghkadzor!” says hotel director Tsolak Hakobyan. “There is something for everyone here – activities such as skiing and snowboarding, hiking and cycling in summer – and of course a gastronomic adventure in Armenian cuisine.”

The Alaska Hotel is one of those places that offers famous Armenian hospitality to both local and international guests. Opened just over a year ago, it now employs 16 people, all local, the majority of them women.

The company invested in solar energy to lower its bills, protect the environment and encourage guest loyalty. The project was backed by the European Bank for Reconstruction and Development (EBRD) and the European Union (EU), through the EBRD’s partner financial institution, Inecobank.

From winter wonderland to sun spot

Armenia is known for its sunny days. And the sun is also shining on what is one of the most efficient and least expensive types of energy. While the government is already planning to increase significantly the share of solar power in the country’s energy mix, the private sector seems equally enthusiastic:

“Investing in solar energy and solar panels has multiple benefits,” says Mr Hakobyan. “Lowering the bills for a small hotel like ours means that we can use the extra funds to grow and carry out other plans, such as building an outdoor café and more.”

With support from the EU4Business-EBRD credit line and a fast, streamlined process, the Alaska Hotel was able to install a rooftop solar system, which will save just over 200 MWh per year. The joint EBRD and EU programme enables local companies to access finance and new technologies to help them grow, not only locally, but also internationally.

Eligible small businesses receive EBRD financing through partner banks – in the case of the Alaska Hotel, Inecobank. They also receive technical assistance and grant incentives upon successful completion of their investment plans, both funded by the EU.

Since the launch of the programme in Armenia in 2021, more than 170 companies have received financing. More than 110 have used the funds to invest in green technologies. In future, more companies will benefit.

Valley of flowers

Tsaghkadzor translates from Armenian as the “valley of flowers”. It gained popularity as a ski resort in the 1970s, with the construction of a cable car on Mount Teghenis. Ski lifts and other sports facilities were built to train athletes for the 1988 Winter Olympics. Since then, the town has been transformed into a ski resort and has now been upgraded with new ski lifts.

“Living in such a beautiful, picturesque environment is amazing, but also a big responsibility,” says Mr Hakobyan. “We are responsible for preserving nature for generations to come. Our guests from around the world really appreciate that we are so environmentally minded and do everything in our power to protect the nature around us.”

Mr Hakobyan is confident in the future of the resort and expects growth for the hotel.

“I believe Tsaghkadzor has a bright future and will emerge as the top resort in Armenia, in tandem with the Alaska Hotel,” he says.

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SOURCE: EBRD