DHInfrastructure is pleased to announce the publication of its collaboration with the World Bank on an Energy Sector Note for Armenia. Armenia’s energy sector—specifically the electricity, natural gas and heating subsectors—have moved from severe crisis in the 1990s, to a stability more characteristic of developed countries than emerging markets. A mix of policy, legal, regulatory, and institutional reforms has achieved remarkable results. Nevertheless, some old challenges remain and new ones have arisen. Armenia is still vulnerable to energy supply disruptions; tariffs lag the full cost of service provision; and a significant investment backlog impedes progress in energy infrastructure. The note analyzes the challenges facing Armenia’s energy sector in the coming decade, and suggests options for meeting them.