Page 59 - GEORptJun22

Georgia’s post-Covid connectivity plan targets investments of €3.9bn
Connectivity has been put at the top of the agenda in Georgia, following a visit earlier this month from Europe's commissioner for neighbourhood and enlargement, Oliver Varhelyi.
In an address to officials, Várhelyi said the country was facing issues due to its lack of communications connectivity with other nations and to vital utilities such as in electricity provision.
As a result, during his trip Várhelyi announced a series of proposals to "improve access to digital services and broadband internet throughout the country, and also to introduce to Georgia our Green Deal and our Digital plans".
Confirming "five flagship initiatives" for Georgia on Black Sea connectivity, Varhelyi said the strategy "should bring in at least €3.9bn" in investments over the coming years.
The developments come less than four months since the Venice Commission and the Council of Europe Directorate General of Human Rights and Rule of Law said that new powers granted last year to the Georgian National Communications Commission (GNCC) were "not in line with European standards".
Although unable to comment on specific issues, Varhelyi said of the regulatory environment in Georgia: "Bearing in mind these planned investments in digital connectivity, the independence of the responsible regulator in the field of electronic communications is of crucial importance."
The developments could signal a break in a turbulent period for Georgia's connectivity sector, following challenges to NEQSOL Holding’s ownership of Caucasus Online and recent criticism from a key player in the mobile space. While Varhelyi didn't specifically comment on these matters, he did tell Capacity that domestic and foreign investment would both be key to meeting the €3.9bn investment potential.
He said: "We would expect the investment to come from within Georgia but also from other countries. The EU contribution will be a combination of blending grants, loans and in particular the guarantees under European Fund for Sustainable Development (EFSD+). This must be complemented by private sector or sovereign debt investments.
"We are working together with Georgia and all our partner countries to develop a pipeline of project proposals. Legal certainty, rule of law and trust in the judiciary are equally key elements to encourage (foreign) investment."
9.1.11 Renewable energy sector news
Georgia to begin industrial production of wind power plants
Industrial production of wind power plants in Georgia is expected to begin following the signing of a memorandum between Georgia's Ministry of Economy, the State Military Scientific Centre Delta and the Georgian Wind Energy Association on 23 March. Production of wind energy power plants, creation of new jobs, integration of wind power into the energy infrastructure and generation of electricity is included in the agreement, the economy ministry said.
The state body, Delta and the association will also make efforts to find potential investors interested in financing and developing production of components of wind power plants on the territory of Georgia, with the manufacturing of wind generators and their components set to be located on an industrial area owned by Delta. Negotiations with the leading companies producing wind power generation equipment, as well as with parties interested in purchasing such equipment and its components, is also included in the memorandum.
59 GEORGIA Country Report June 2022 www.intellinews.com