The System of Mandatory Authorization
Permits for a wind farm begin with Article 11 of the Georgian Law on Energy and Water Supply: in accordance with the conditions envisaged by the Law on Licenses and Permits and this law, the Commission issues licenses for energy activity: in the electricity sector — the generation, transmission and distribution of electricity and the operation of the market; in the natural gas sector — transmission, distribution, operation of the storage system and of LNG devices, and market operation; as well as water supply. Conducting these activities without a valid license issued by the Commission is prohibited. The exceptions are defined as well: no license is required for generation solely for own consumption where the object is not connected to the network, for generation at the time of the object's acceptance into operation, for generation by small-capacity and micro-capacity plants, or for the activity of a closed distribution system operator. A small-capacity plant or an energy enterprise engaged in an activity not requiring a license — supply, trading in electricity or natural gas, or administration of the bilateral contracts platform — or intending to conduct such activity is obliged to declare this in the manner established by the law.
License Conditions
Under Article 12 the Commission issues a license to an enterprise satisfying the conditions established by the three legal acts. The applicant is obliged to substantiate, through the documentation envisaged by Article 13 of the law: the technical, economic, financial and operational (human resources) capabilities necessary for performing the functions related to the licensed activity; the ability to take the measures needed to ensure the quality of the service; and the ability to duly perform other obligations established by legislation for the relevant activity. In energy activity the applicant must also, where relevant, substantiate its ability to perform the public service obligations defined by law. These capabilities are mandatory license conditions; where the applicant cannot prove them, the Commission does not issue the license. The licensee must ensure performance of the license conditions throughout the license's validity; in supervision the Commission may demand documents confirming the conditions, and non-fulfillment is deemed a breach of the license conditions and entails the liability envisaged by the Law on Licenses and Permits and this law.