Armen Stepanian: energy-saving technologies are key for large businesses

Armen Stepanian, Director of Sustainable Development at the Zangezur Copper-Molybdenum Combine (ZCMC), spoke with Banks.am about energy efficiency, green technologies, and Armenia’s sustainable development prospects.

– Mr. Stepanian, ZCMC is a partner of the upcoming Robust Armenia 2025 conference on November 12, this year themed “Efficiency: The Key to Armenia’s Energy Security.” How well do you think energy efficiency is understood in Armenia?

“Energy efficiency is becoming increasingly important every year and is a key component of sustainable development, supporting economic, environmental, and social goals simultaneously. In particular, the mining sector is energy-intensive, so energy efficiency here has special significance.

Even beyond the energy demands of raw material extraction, transport, and processing—which account for a substantial part of mining project costs—optimizing energy use is crucial not only economically but also environmentally. Reducing energy consumption directly lowers emissions, which is vital from an ecological perspective.

I can confidently say that for at least large businesses, energy-saving technologies are both profitable and essential for meeting international standards. Regarding public awareness of energy use, ongoing efforts are still needed to cultivate a culture of conscious and efficient resource utilization.”

– What steps has ZCMC taken recently to improve energy efficiency, and what are the plans for the future?

“Over recent years, we have been gradually replacing existing technologies with more energy-efficient alternatives. Our sustainable development strategy includes reducing greenhouse gas emissions through several strategic initiatives, such as transitioning to renewable energy sources, electrifying our vehicle fleet in the future, and implementing other energy-saving technologies.

We also consider our surrounding communities in these initiatives. In Syunik, for example, ZCMC has installed solar photovoltaic systems and water heaters for about 200 households. Mining itself is foundational for the green energy transition, and globally the sector is increasingly recognized for its role in sustainable development. Many countries integrate mining and metal supply chains into their green energy strategies, as energy transition cannot occur without metals. In this regard, Armenia has enormous untapped potential in both mining and energy sectors.”

– Do you think society and the business community are paying more attention to sustainable development and the “green economy”?

“Gradually, there is growing awareness that sustainability is both necessary and inevitable, and economically beneficial in the long term. While progress is not uniform and much work remains, large companies—especially those working with international markets—adapt faster because maintaining competitiveness requires adopting certain standards. Domestic regulations also need to support this transition, not as a burden on business, but to enhance the competitiveness of Armenian companies. International regulations in Europe and even China are spreading rapidly, and businesses that fail to adapt risk being excluded from the market. Armenian businesses also need support to adjust.”

– During the Armenian Mining Forum on October 3–4, ZCMC reaffirmed its commitment to transparency and sustainability by presenting its 2024 Sustainable Development Report. How are these reports applied in day-to-day operations?

“Sustainability reporting is essential to remain competitive. It provides the minimum standard any company engaged with international markets will eventually need. Practically, these reports allow us to monitor, assess, and compare our environmental, social, and governance performance, and identify areas for improvement for the following year.”

– You mentioned that the report includes both achievements and shortcomings. What are the main gaps, and how are they being addressed?

“There is always room for improvement, especially for a company like ZCMC, with over 70 years of history. Many environmental, social, and governance systems are newly implemented, and resolving legacy issues will take time. Last year, we adopted environmental and social policies, and their full implementation still requires work. Clear targets for carbon footprint reduction are not yet fully defined, and we aim to address this this year. Health and safety culture also needs strengthening, as incidents still occur. Even in advanced countries, large companies set new benchmarks each year and address gaps continuously. Sustainable development requires ongoing adaptation, improvement, and corrective measures; no company can claim it has nothing to improve, and that is a good thing—it focuses efforts on continuous progress.”

The “Efficiency: The Key to Armenia’s Energy Security”conference will be held on November 12, 2025, at the Armenia MarriottHotel, “Tigran the Great” Hall, from 09:30 to 13:00. For additional information or partnership opportunities, contact 010 54 45 31.