Electricity Market Watch - FY21 Update

New companies Tbilisi Electricity Retail Company (Telmico) and EP Georgia Supply appeared on retail market of electricity in July 2021. They got licences as Universal Service Supplier, Public Service Provider and Last Alternative Supplier. Former supplies electricity to residential users, second to non-residential users and latter is for insurance purposes. Tariffs for these licensees were set by GNERC. All three licenses were recently incorporated in new energy law and consecutive legislative acts. Licenses of Telasi and Energo-pro Georgia were modified to include only distribution activity since July 2021.Transmission and dispatch licenses also saw all previous licenses were annulled and all the responsibilities were transferred to GSE, as it became single owner of transmission system operator (TSO) license. Due to legislative changes, 30 new companies were registered as direct consumers in 2021. Start of day-ahead market, as well as balancing and ancillary services market was further postponed to spring 2022. Despite this, GNERC already adopted tariffs for operators of both markets in line with recently adopted tariff methodologies. Tariffs will enter into force after commencement of these markets. By the end of 2021, the total installed capacity of the stations connected to the distribution grid via net metering program (mostly solar panels), has reached 17.7 MW, up 4x y/y.