GEFF in Georgia and TBC Bank continue to support the development of renewable energy (RE) and climate adaptation investment in the country. The recent online forum entitled “Investments in Green Economy”, held on March 11, 2021, showcased the importance and benefits of a sustainable approach to doing business and living.
“Start with yourself” was the message TBC Bank shared with the audience, as Environmental and Social Risk Manager Ana Saralidze presented the bank’s sustainable financing strategy. “Compliance with international environmental and social standards, financing green investments, supporting women in business and young entrepreneurs are essential to TBC Bank’s long-term financing goals”, participants were told. Speaking on the panel, Ms Saralidze once again confirmed the bank’s commitment to providing sustainable financing to their customers, a process in which GEFF in Georgia plays a role.
Investments in RE, particularly in solar energy have become a hot topic in Georgia and rightfully so. As GEFF in Georgia Expert Andro Butkhuzi pointed out in his presentation, the country has great potential for solar energy development, as the average number of annual sunshine hours is approximately 2,200. In comparison, the number of sunshine hours Germany, where solar energy has become the cheapest mode of power generation, stands at about 1,800. A recent increase in electricity rates was the final nudge businesses needed to shift their attention to this clean energy source. As the lively discussion during the event suggests, Georgian businesses are in the interest and evaluation stages of the technology adoption process. Questions about investment size for an average solar station, space and area needed for set-up as well as vendor recommendations suggest an increase in the popularity of solar energy in the country. The types of businesses interested are varied: more than 100 company representatives attended the event from numerous sectors including wineries, building owners, developers, hospitals, steel production, etc.
Despite the interest, the discussions during the forum outlined some of the concerns participants had regarding the anticipated changes in the net-metering system. In a recent meeting with technology vendors, the Georgian National Energy and Water Supply Regulatory Commission (GNERC) presented their goals in connection with the development of this system and discussed changes in the electricity markets that are to take effect starting 1 July 2021.
Following “Investments in Renewable Energy”, GEFF in Georgia Expert Murad Kharaishvili presented “Investments in Climate Adaptation Measures” – a third type of investment financed under GEFF after RE and EE. “Climate change affects millions of people across the world”, said Mr Kharaishvili, “so it is vital to know what businesses can do to adapt to or to mitigate its consequences”. The EBRD has been actively supporting countries in adopting green technologies that help adapt to climate change. Rain water harvesting systems, efficient irrigation systems, minimum or zero till farming technologies, water-efficient agri-processing equipment are just a few of the technologies financed by the EBRD’s GEFF in Georgia that can prove beneficial for the agribusiness sector.
The two-hour long, interactive forum ended with a note of gratitude from the participants in providing relevant and timely information on the topics. They noted that “together with the financing available and the readiness from businesses, we will be able to shift faster to a sustainable way of working and living.”
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