Economy Minister: Namakhvani HPP Investor will Pay Property Tax of $120 Million

“It is fraudulent information as if the company has been exempted from property tax. The company will pay property tax of $120 million”, Economy Minister Natia Turnava noted when delivering her speech at the parliament’s committee hearing.

It is a widespread practice to transmit vast territories to investors for implementing major investment projects. Extensive areas were transmitted to Dariali HPP and Anaklia Seaport projects too, Natia Turnava said. “This is not an unconditional transmission. The condition is that the project will be implemented and the 28-km road will be transmitted to the Government and property tax will be paid. The company will pay property tax of $120 million in the HPP exploitation period. Big territories are required for major projects. We remind you that we transmitted 500-hectare land to Anaklia Development Consortium and we were going to transmit another 700 hectares for long-term use.

In the energy sector, vast territories are required for hydropower facilities. This is an ordinary practice. In 2011, vast territories were transmitted to the investor for Dariali's HPP project implementation. If the problem is that a foreign investor and not a domestic investor is involved in the project, we remind you that this is an approbated practice in our energy sector, where Energo Pro Georgia holds huge territories, including Shaori, Gumati, and Rioni territories. Has anyone taken these territories anywhere? No. This company has employed 6,000 persons… If any territory is outside the project space, the company will return it”, Natia Turnava said.