Georgia has reduced its 2026 budget allocation for high-voltage transmission line projects by 39% due to persistently low spending and implementation delays, according to the 2026 budget revision document.
The Georgian State Electrosystem is developing several strategically important transmission lines with financing from international donors, including KfW, the World Bank and the EBRD. The projects have a combined investment value of GEL 830 million, of which GEL 361 million had been spent by the end of 2025. Full completion is now planned for 2029.
Project deadlines have repeatedly been postponed. While the 2022 budget targeted completion in 2024–2025, subsequent revisions pushed the deadlines to 2025–2026, then 2026–2027 and 2028. The latest plan extends completion to 2029.
Delays have been attributed to prolonged tender procedures, slow contractor performance, difficulties obtaining environmental permits and complications involving land acquisition and expropriation. According to the Georgian National Energy and Water Supply Regulatory Commission (GNERC), the State Electrosystem planned to implement GEL 231 million worth of investment projects in 2025, including transmission lines and substation construction and modernisation, but actual spending amounted to just 9% of the planned budget.
