Generation Conditions of a Wind Project
A wind energy project is subject to the conditions defined by Article 32 of the Georgian Law on Energy and Water Supply: the construction, maintenance and operation of generation objects and associated devices, and their connection to the transmission and/or distribution network, must comply with the technical standards, norms and other mandatory conditions established by Georgian legislation and by the rules of the transmission and distribution networks, including the requirements related to environmental protection, public safety and the protection of property. Generation, apart from the cases envisaged by the law, is subject to mandatory licensing under the procedure established by the Law on Licenses and Permits, the energy law and the Commission's licensing rules. This is the initial frame within which the engineering and legal preparation of a wind park must take place.
The Obligations of the Producer
Article 34 gives the electricity producer an extensive catalogue of obligations: to fulfill the requirements of the law and the relevant license; to have a metering device enabling the accounting of electricity supplied to the network; to satisfy the requirements established by the transmission and distribution network rules; to execute the operational instructions of the system operators on dispatching, balancing, emergency conditions in the system and ancillary services; to fulfill energy efficiency and environmental requirements; when participating in the market, to comply with competition rules, including the prohibition of unjustified restriction of capacity and unjustified reduction of generation; to maintain the proper operational condition of the objects and ensure continuous readiness and safe operation — an obligation subject to supervisory inspection; to transfer to the operators, upon request, the data and information needed for the operation and management of the power system; to ensure the operators' free access to the devices used for reserve purposes, ancillary services and the transportation, transmission or distribution of electricity flows; to consider the operators' recommendations on changing installations and equipment; and to maintain and improve the installations also used for transmission or distribution, in accordance with the network development plan.
Particular attention is given to data transparency: a producer operating an object of 100 kilowatts or more nominal capacity must store, and make available under Georgia's international obligations to the relevant state organs, the system operator and competent international organs, the hourly data needed to verify dispatching decisions and the actions of market participants in buying and selling electricity, including price offers. These data must cover available capacity and guaranteed reserves, including their distribution at the level of each generation object. The Commission supervises the application of fair competition principles and may demand special measures from individual producers and other electricity enterprises. Each producer must publish an energy efficiency improvement program and an annual report on its results, and the Government, where necessary, may establish minimum efficiency levels for individual technologies, achieved in the construction of new or the reconstruction of existing objects. For small-capacity plants, subordinate legal acts may even define simplified requirements.
The Tender for New Capacities
Under Article 35 the Government of Georgia may, in accordance with legislation, hold a tender or apply another selection procedure for building new generation capacity, including increasing existing capacity. The Government approves the tender rules and conditions, which must be implemented transparently and non-discriminatorily. For a wind project this means that the route to developing new capacity may be built on competitive selection, and the tender documentation is formed precisely on the basis of this norm; the transparency and non-discrimination requirements bind the organizer throughout the procedure.
Generation Support
Article 37 forms the unified support regime: it is transparent and non-discriminatory and rests on economic expediency, the minimal costs of the final consumer, and the criteria of the electricity balance and the operation of the Georgian power system. Generation from renewable sources and high-efficiency cogeneration may be encouraged through support mechanisms defined by Georgian legislative or governmental normative acts, up to the level established for Georgia by Energy Community legislation; wind energy is recognized within this frame as a renewable source and qualifies as a potential addressee of support. Every incentive or supporting measure must, where necessary, be justified in conformity with Georgian competition and state aid law, which keeps the support system compatible with the wider legal order. A wind project thus stands in three balances at once — technical obligations, market conduct rules and the support regime — and their joint observance keeps it firm in the permit and operational regime.
Frequently Asked Questions
Questions about wind projects most often concern licensing, data availability and support.
Does a wind park need a license?
Generation, apart from the cases envisaged by the law, is subject to mandatory licensing; the procedure is regulated by the Law on Licenses and Permits, the energy law and the Commission's licensing rules.
For which objects are hourly data made available?
For objects with a nominal capacity of 100 kilowatts or more — the producer must store the hourly data and make them available to state organs, the system operator and competent international organs.
May wind energy be encouraged?
Yes — generation from renewable sources and high-efficiency cogeneration may be encouraged through support mechanisms, up to the level established for Georgia by Energy Community legislation.
Who supervises the fulfillment of the producer's obligations?
The operational condition and maintenance obligations are subject to supervisory inspection, while the application of competition principles is supervised by the Commission, which may also demand special measures.
How We Help on Legal.ge
The Legal.ge team assists developers of wind energy projects: we analyse the generation conditions and producer obligations, prepare licensing and network-connection documentation, and assess compatibility with the support mechanisms.
If you are planning the development of a wind park or have a licensing dispute, write to us on Legal.ge — we will assess your project on the basis of the legislation and plan the next steps.
