Further postponement of the electricity market opening in Georgia

The Energy Community Secretariat regrets the recent postponement of electricity market opening in Georgia. With the adoption of the resolution by the Government of Georgia on 29 June 2023, the launch of the day-ahead, intraday, balancing, and ancillary services electricity markets, set to take place on 1 July 2023, was delayed until 1 July 2024.

The opening of organized electricity markets has been prepared during several years and was meant to be a pivotal step towards the development of an efficient, liquid and transparent energy sector based on the European target model. It would have introduced fair competition and facilitate the development of new clean energy generation and cross-border transmission capacities.

The Secretariat, together with other international partners, have supported Georgia in the establishment of organized electricity market. During an intense preparatory process over the last few months, which involved all affected stakeholders, workable solutions were found for all remaining issues, including those which justified previous postponements.

The recent postponement, the last in a series of previous delays, is likely to affect trust by market participants and investors. For Georgia to continue its path of integration with the European energy sectors, including by building new electricity infrastructure, a functioning and liquid organized domestic electricity market is an indispensable prerequisite.