Carbon Credits in Georgian Law — the Absence of Regulation
We start with the main point directly: in Georgian environmental legislation the carbon credit, as a tradable instrument, is not separately regulated. The norms at this page’s foundation create no emissions-trading scheme, establish no national registry for the issuance or identification of credits, and define no status of a credit as a proprietary right. What the law does regulate is the regime of authorization and monitoring of greenhouse-gas emissions — which is not the trading of credits. So if you are looking for an answer on buying or selling credits, this page offers the legal backdrop within which such transactions take place, together with a plain statement that a separate scheme does not exist in the law.
The Law’s Goals — the Regulatory Backdrop
The principal goals of the environmental protection law define the frame within which climate matters are resolved: the law protects the human right to live in an environment harmless to health and to enjoy the natural and cultural environment; it provides for state protection of the environment and rational nature use, taking into account the interests of present and future generations; it promotes biological diversity and ecological balance; and it legally secures the resolution of common global and regional environmental problems and the conditions of the country’s sustainable development. These goals explain why emission control sits at the center of the state’s attention — but the list of goals contains no mechanism for trading credits.
Basic Definitions
The law’s definitions assemble the conceptual apparatus within which climate regulation works: the environment — the totality of the natural and the human-transformed (cultural) environment; environmental protection — a set of measures securing the maintenance and restoration of natural equilibrium; integrated control — a pollution-regulation system resting on the integrated control of pollution of land, water and atmospheric air; and best available technology — the most effective and economically accessible technology from an environmental standpoint. The same article contains the definition of the verifier: a person accredited to verify the annual greenhouse-gas emissions report — by the unified national accreditation body or through the experience of European accreditation cooperation. That norm enters into force from 1 January 2028.
Authorization of Greenhouse-Gas Emissions
The climate-protection chapter obliges the activity subject to observe the norms of emission of greenhouse gases into the atmosphere and to carry out measures for their reduction; emission is regulated on the basis of the integrated pollution-control system. For activities determined by government decree, an authorization of greenhouse-gas emissions is required: apart from aviation activities, it is issued by the National Environment Agency, and for aviation activities — by the Civil Aviation Agency. The authorization is an individual administrative-legal act issued for an unlimited term, accompanied by a monitoring plan. It may be declared void, besides the general grounds, where within 5 years of receipt the activity has not commenced, or where the activity has been suspended for 2 calendar years and repair or renewal works could not be substantiated.
The monitoring, reporting and verification regime requires the activity subject to conduct monitoring on the basis of the monitoring plan and to submit, annually and no later than 31 March of the respective year, an annual emissions report — verified by a verifier; the verified report is published on the environmental information portal within 5 working days of receipt by the issuing organ. The requirements related to the carbon offsetting and reduction scheme for international aviation are established by an order of the director of the Civil Aviation Agency. This is the monitoring and verification machinery — not a market of credits.
Conclusions for a Party Interested in Credits
First, participation in an emission-reduction project fits legally within the frame of greenhouse-gas authorization and monitoring, and compliance with that frame is tangible and verifiable. Second, selling the project’s result in the form of a credit rests on a separate legal regime — contract, international standards and the buyer’s requirements — and not on the instruments of national law. Third, since no national registry or issuance rule exists, the description of the credit, the prevention of double counting and the allocation of obligations are subjects of the contract — and a hard-nosed assessment of precisely those documents is where the diligence belongs.
If you plan an emission-reduction project, first establish whether your activity falls within the mandatory authorization list — the authorization is issued with a monitoring plan, and compliance with its conditions underpins the project’s credibility. The annual report by 31 March, in verified form, is decisive. On the trading side, note the fact of absence: there is no national scheme under which a credit would be issued or registered, so every trading term must be defined by contract and concluded according to international standards recognised by the buyer.
Frequently Asked Questions
Is there a national regulation of carbon credits in Georgia?
No. Environmental legislation creates no emissions-trading scheme and no registry of credit issuance. Only the authorization and monitoring of greenhouse-gas emissions are regulated.
Who issues the emissions authorization?
For activities determined by government decree, except aviation — the National Environment Agency; for aviation activities — the Civil Aviation Agency. The authorization is issued for an unlimited term.
When does the authorization lapse?
On the holder’s request; also if within 5 years the activity has not commenced, or if it has been suspended for 2 calendar years without substantiated repair or renewal works — in addition to the general grounds.
How We Help on Legal.ge
Carbon credits in Georgian law are still assessed against the background of international standards and contracts. The Legal.ge team examines emission-authorization obligations, assesses the risks of credit-related transactions and helps build a framework of contractual protection. Contact us — a correct legal footing matters on this market.