EU4Energy helps Georgia to develop frameworks for generating low-carbon electricity
ხუთშაბათი, 23 ივლისი 2020 13:50EU4Energy helps Georgia to develop frameworks for generating low-carbon electricity o.polyuga Thu, 07/23/2020 - 15:50
The ‘EU4Energy Governance’ project will support Georgia in developing a standard form and template for a contract for difference – a market-based mechanism for supporting the generation of renewables-based electricity.
The contract for difference aims at accelerating investments in renewable energy by providing stability to project developers. It protects them directly from financially unsustainable low wholesale prices, while ensuring that support is granted via a competitive bidding process. The contract for difference also protects consumers from paying increased support costs when electricity prices are high.
Georgia introduced a provision on contracts for difference in its recently adopted Renewable Energy Law, however, the necessary contractual framework for its implementation is not yet developed.
The technical assistance was launched on 21 July 2020 with the participation of Energy Community experts and in close cooperation with the Ministry of Economy and Sustainable Development of Georgia and the Electricity System Commercial Operator.
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