Georgian Economy Minister Levan Davitashvili on Monday said today’s Government meeting had approved a transitional model for the domestic electricity market as part of the energy exchange reform, which would allow for trading of electricity in day-ahead and daily markets.
"We are gradually commencing operations - starting from July 1, day-ahead and daily markets will be launched, but buying and selling operations in the electricity market will be voluntary at this stage. Over the next year, we will monitor the operations, observe how the trade is conducted on the exchange and accumulate competencies. This will better prepare us for a smoother transition to the electricity exchange model”, Davitashvili said.
He added the requirement of hourly balancing and the launch date of balancing and auxiliary services market had been postponed until July 1, 2025.
The Minister reiterated the importance of the reform for the country’s energy sector. He said “many countries had taken decades” to transition to the system, as it was “one of the most complex reforms” in the sector and “closely related to several important economic sectors” in the country, including metallurgy and large energy consumers.
Davitashvili also emphasised “responsibility to consumers and households”, acknowledging “potential challenges” with price increases. He pledged a “cautious and responsible” approach to decision-making, while also highlighting the Government’s international commitment to “opening the market”, launching the exchange and deregulating the sector.
