National Economy
The country of the Republic of Georgia is bordered by Russia, Turkey, Armenia, Azerbaijan, and the Black Sea. The population of Georgia is approximately 3.97 million people[1].
In 1921, the Democratic Republic of Georgia was invaded, subjugated, and incorporated into the Union of Soviet Socialist Republics (USSR). In 1991, the Republic of Georgia gained its independence as a sovereign nation, following the dissolution of the USSR.
In 2022, Georgia’s economy was ranked 118th in the world in gross domestic product (GDP)[2]. The country’s economy[3] is dependent on the export of copper ore, ferroalloys, cars, wine, and hard liquor.
Environmental Policies
In 2016, Georgia[4] signed the “Paris Climate Agreement”, committing to a 15% reduction in greenhouse gas emissions, excluding land use and forestry, below business as usual levels by 2030.
Power Generation Capabilities
In 2020, 100% of the people in Georgia had access to electricity[5]. In 2022, Georgia’s electric cooperatives used renewable energy (76.2%) and natural gas (23.8 %) to generate electricity across the nation[6]. Hydropower is the dominant type of renewable energy used to generate electricity in Georgia.
Recent renewable energy projects in Georgia include:
- 300 MW Hydropower Projects Tender – In February 2023, Georgia’s Ministry of Economy and Sustainable Development launched a tender for hydropower projects.
- 185 MW Hydropower Project – Adjaristsqali Georgia LLC (AGL), a joint venture with Clean Energy Invest of Norway, Tata Power of India and IFC Infraventures is continuing work on the Adjaristsqali Hydropower in the southwest region of the Republic of Georgia.
- 70 MW Solar Projects Tender – In February 2023, Georgia’s Ministry of Economy and Sustainable Development launched a tender for photovoltaic projects.
- 70 MW Wind Projects Tender – In February 2023, Georgia’s Ministry of Economy and Sustainable Development launched a tender for onshore wind projects.
- 21 MW Wind Project – In December 2016, British engineering company Mott Macdonald commissioned the Qartli Wind project at a site approximately 50 miles northwest of the nation’s capital, Tbilisi.
Conclusions
Georgia imports fossil fuels (oil, coal, and natural gas) for power generation, heating, and transportation. In 2020, the country imported[7] U.S. $856 Million for refined petroleum and U.S. $427 Million for natural gas.
On 24 February 2022, Russia invaded Ukraine, prompting the European Union, United Kingdom, United States, Canada, Japan, South Korea, Australia, and New Zealand to place economic sanctions on Russian imports and exports. As a result, the crude oil and natural gas prices increased by over 50% from May 2021 to May 2022.
In 2021, Georgia imported 23.1% of the nation’s natural gas from Russia[8]. Georgia has significant undeveloped renewable energy resources, including hydropower, offshore wind, biomass, onshore wind, and solar.
The Europe now knows not to become dependent on Russian fossil fuels. Georgia is now replacing expensive natural gas fueled power plants with low-cost reliable renewable energy projects. Georgia’s energy independence is dependent on clean, reliable renewable energy.
Jack Kerfoot
Website – “Our Energy Conundrum”
www.jackkerfoot.com
Jack Kerfoot is a scientist, energy expert, and author of the book FUELING AMERICA, An Insider’s Journey and articles for The Hill, one of the largest independent political news sites in the United States. He has been interviewed on over 100 radio, podcast, and television stations from New York City to Los Angeles on numerous energy related topics.
[1] Georgia Population (2023) – June 8, 2023, www.worldometers.info
[2] Gross Domestic Product By Country 2022 – Worldometer
[3] The Observatory of Economic Complexity (OEC) – Georgia
[4] Carbon Brief – “2015: Tracking Country Climate Pledges”
[5] The World Bank Group, Access to Electricity (% of Population) – Georgia
[6] Our World In Data, Georgia: Energy Country Profile by Hanna Ritchie and Max Roser
[7] The Observatory of Economic Complexity (OEC) – Georgia Imports
[8] “Georgia’s Economic Dependence On Russia: Impact Of The Russia-Ukraine War” by Transparency International, 3 August 2022