Statement by the Ministry of Economy and Sustainable Development

Energy sector is a backbone of the economy of any country and its proper functioning is of great importance. In parallel to economic development in Georgia, energy consumption is also increasing – according to the official statistics, energy consumption of electricity increases by 4.5% annually. 

In recent years, 800 MW capacity has been put into operation in Georgia. However, it is still not enough. Georgia has been transformed from the energy importer country into the exporter. Maintaining this trend will greatly facilitate further development of the country’s economy.

Georgia is not rich in hydrocarbons. Therefore, it is of outmost importance and necessity to optimally use country’s hydro resources. According to official data, country’s technically achievable capacity is an annual 90 billion kw/h, while the economically justified capacity equals to 50 billion kw/h. At this point, only 20-22% of this capacity is used.

Thus, new energy generating facilities that guarantee continuous energy supply of Georgia and are responsible for further economic growth in the country are of outmost importance for us. 

Following this aim, the Government of Georgia considers the construction of dozens of large as well as small hydropower plants, which would require international investments. The Namakhvani HPP Cascade is one of the priority projects in terms of improving the country’s energy security issue. All projects, including the Namakhvani HPP, will be implemented in full compliance with the international standards, both in terms of environmental impacts and energy efficiency.

Namakhvani HPP is an important project not only for Georgia’s energy security and continuous energy supply and reliability, but also in terms of creating new jobs in the region, development of small and medium businesses, tourism development, etc.

In addition, it is important to provide a working process with the participation of the all interested stakeholders in order to get a facility that will be beneficial for the whole country and each citizen.

Ministry of Economy and Sustainable Development of Georgia. © 2021