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Energy Sector Reform in Georgia

European Union, Ministry of Economy and Sustainable Development and KFW joined efforts to support Energy Sector Reform in Georgia

08/12/2021

The European Union, KFW and the Ministry of Economy and Sustainable Development launched the next technical cooperation programme to support energy sector reform in Georgia today.

Georgian Energy Sector Reform (GESR) with budget 8,44 Million Euro aims at strengthening the country’s energy security, at improving energy efficiency of public, industrial, and residential buildings and relevant infrastructure, and, in line with EU directives, to support the ongoing reforms of the electricity market and endorse the further development of renewable energy.

“Energy efficiency first” is a key EU policy principle and therefore also the focus of our assistance under the joint Energy reform programme with KfW and AFD. With our help, Georgia will be able to complete the national energy efficiency framework based on EU rules and best practices. We count on the Government to seize the opportunity and lead its implementation. The benefits of energy savings are numerous: environmental, social, and economic, and they directly contribute to the country’s energy security but also sustainable recovery,” – says Sigrid Brettel, the Head of the Cooperation – EU Georgia.

Under the program, strengthening the capacity of the parties involved in the energy market reform process, strengthening the legal framework for energy efficiency and energy efficiency in buildings, support of renewable energy development and capacity strengthening of key market players in the Electricity market is planned. In particular, within the program, the necessary secondary legislation on energy efficiency and energy efficiency in buildings envisaged by the Georgian legal framework will be developed along with supporting implementation programmes that support energy efficiency savings. Within the program, Georgia’s path to continued EU energy sector harmonization will be supported and adapted to the Georgian context. The program will support the establishment of a system of energy performance certification (EPCs), a system of accreditation and certification of energy assessors, energy auditors and energy inspectors, the development and introduction of an energy efficient procurement system and a long-term renovation strategy and more.

According to the Deputy Minister of Economy and Sustainable Development David Tvalabeishvili the program will aid the country to fulfill obligations committed under DCFTA agreement.

“The programme will help us fulfil commitments under the Association Agreement with the European Union and Georgia’s accession to the Energy Community. In addition, it will help to implement energy sector reform successfully. In particular, introducing and implementing energy efficiency and renewable energy legislation aims to reduce import dependence through the rational consumption of energy resources; As a result, the best standards will be introduced in the sectors, which will contribute to climate change mitigation, improve the environment, public and private spaces condition,“ – says Tvalabeishvili. 

The 4-year program aims at attracting additional private investments into energy efficiency, strengthening competitiveness of Georgian economic sectors through improvement of energy efficiency, development of renewable energy  and reduction of GHG emissions.  The program will also support deployment of a competitive electricity market and increasing public awareness on the implemented reforms.

Contact information:

  • Gvantsa Kikalishvili, Project Communications Consultant, 599 799 646, me@gvantsa.com
  • Giorgi Kalandadze, Ministry of Economy and Sustainable Development, 591 197 797, gkalandadze@moesd.gov.ge

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