All energy sector companies involved in developing renewable energy projects will have their accumulated state fines, with the total amount reaching GEL 1 billion, written off under specific conditions. Such a statement made today the Prime Minister of Georgia.

“We have made a critically important decision to write off fines and penalties imposed on companies operating in the sector, subject to specific conditions. All energy sector companies involved in developing renewable energy projects will have their accumulated state fines, with the total amount reaching GEL 1 billion, written off under specific conditions.

As for the conditions: to ensure companies are not tempted to continue operating irresponsibly and accumulating new fines, but instead take the state’s sector reform initiative seriously, they will be fully liable for any newly accumulated penalties and fines should they breach the renewed deadlines. Moreover, the fines forgiven by today’s decision will be reinstated.

The conditional debt relief serves two simultaneous purposes. On the one hand, companies must have the financial barrier removed in the process of implementing energy projects, and on the other hand, companies must retain maximum motivation to implement planned projects within the grant deadlines.

Debt forgiveness should mark the beginning of a new process based on bilateral cooperation, yet imbued with responsibility. This means new agreements, new schedules, and new reasonable mutual obligations between the state and companies. We shall take a strict approach to any new unfulfilled obligations or new debts to the state budget. With our new approach, we are beginning to implement an energy policy that will be acceptable to companies involved in the energy sector and from which the country will derive maximum benefit.

Our decision today will provide fresh impetus for the development of the energy system, which is of decisive importance for the country’s economic development and the strengthening of economic independence. I thank Georgia’s Minister of Economy, Mariam Kvrivishvili, Ministry’s team for preparing this critically important decision. I wish the energy companies success in the process of implementing renewable energy projects”, - said Irakli Kobakhidze.