Home / Economy / Energy Sector Achievements and Challenges of 2015: Head of GNERC Reviews the Year
Irina Milorava
Head of The GNERC/ Irina Milorava

Energy Sector Achievements and Challenges of 2015: Head of GNERC Reviews the Year

The year of 2015 was very important and full of challenges for the Georgian power system. Many interesting projects were carried out in both generation and infrastructure parts.

Irina Milorava head of The GNERC Georgia reviews the year of 2015 and says the company has made few changes due to currency volatility.

The field regulatory mechanisms are considered one of the main directions in the power system. The year of 2015 was very important in this direction. The Georgian National Energy and Water Supply Regulatory Commission (GNERC) has set new consumer tariffs in 2015. The GNERC head Irina Milorava noted the changes were taken because of the national currency volatility.

The GNERC has taken active steps in 2015. The commission has developed many regulatory acts   for developing the energy and water supply sectors. We have corrected tariffs and continued consumer rights protection. We keep close communication with our society and this is one of the main priorities in the GNERC performance.

“Steam power plants and electricity distribution companies applied to GNERC for correcting the tariff after their expenditures increased following an extreme change in the Georgian national currency exchange rate against USD. Based on the best practices and international standards of tariff methodology, the commission satisfied the mentioned application and set just tariffs. The commission aims to make its performance transparent and to provide the society with comprehensive information in all issues,”Milorava said.

“At the same time, the current year has recorded a growing number of applications regarding aged tax arrears and ungrounded charges. According to the report as of December 8, 2015, GNERC has written offer more than 2 million GEL from the consumers, based on the decision that the commission has taken on the appeals and disputes that were submitted at public sessions by the Energy Ombudsman and GNERC commission for citizens appeals,” she added.

We have also developed and approved the Network Regulations for the electricity sector. According to the new regulations for calculating electricity normative losses, which is based on the best international practice, we have calculated normative losses of JSC TELASI and they were reduced to 5.34% from 12.4%.

The 400-GEL package for switching new subscribers to the natural gas supply network is continued successfully. This year 58 new villages were connected to the natural gas supply network and currently 627 settlements enjoy 400-GEL package preferences.

As to the 2016 plans, the commission will perform huge job in the next year too. The main accent will be made on strict monitoring on service quality standards. Our objective is to provide high-quality services to the consumers and to make the commission performance more efficient”.

“Inauguration of the Khudoni HPP construction works is one of the major challenges before the Authorities in 2016”