Hydropower projects in Georgia often face delays due to social unrest rather than investor fault, ET SYNERGY founder Merab Lominadze told BMG. He said many renewable energy projects have been halted because public gatherings and protests blocked construction sites, making it impossible for companies to meet deadlines.
“When the state cannot ensure conditions for a company to carry out its project, naturally those penalties should be waived,” Lominadze said, noting that it is not a company’s responsibility if protesters disrupt the construction of even a small 3-megawatt hydropower plant.
He added that penalty relief should be granted on a case-by-case basis to support legitimate developers who fail to meet obligations due to external, social factors.
According to Lominadze, the fundamental principle in the energy sector is that increased supply reduces prices. He argued that freeing companies from fines would allow funds to be redirected toward completing new capacities on time, helping stabilize electricity prices for businesses and consumers.
The discussion comes after Prime Minister Irakli Kobakhidze announced that all companies involved in renewable energy development will have accumulated state fines, totaling 1 billion GEL, written off under specific conditions.
