Energo-Pro Georgia: Significant Increase in Electricity Tariff Inevitable

Energo-Pro Georgia projects a significant increase in electricity tariffs is inevitable. The company disseminates information about it, noting that the current price, set on January 1, 2018, has long been unable to reimburse the costs of electricity purchase or other dramatically increased charges.

"We can already conclude that an increase in consumer tariff is, unfortunately, necessary. It should be noted that the current tariff, set on January 1, 2018, has long been unable to reimburse the costs of electricity purchase or other dramatically increased charges. We have been in a severe financial crisis for 10 months now, we have had to abandon all development plans, significantly reduce investment projects, even faced problems in the financing of the salary fund. Despite these difficulties, with the help of the founding group and the banking sector, we were still able to meet our obligations and retain all our employees. However, such a reduction in investment projects, naturally, has a negative impact on the quality of service and the continuity of electricity supply," said the CEO of the company Mikheil Botsvadze.

Regarding the future tariff, he said the tariff increase should not be perceived as the company’s demand.

"We are all aware of the sensitivity of the issue and the social factor, moreover, a significantly increased tariff would lead to an increase in problematic debts or various risks. However, if the purchased electricity costs and necessary investment projects are not fully funded, the company simply can not continue to operate. The issue of electricity supply will be raised, and this will first of all damage the interests of the users,” he added.

By Ana Dumbadze