2017-11-01
GSE and KfW Signed Financial Agreement
Mr. Sulkhan Zumburidze, Head of the Management Board of Georgian State Electrosystem, and Mr. Claus Faigel, Director of the Reconstruction Credit Bank (KfW) Representative Office in Georgia, signed a financial agreement on the allocation of grant of EUR 910,000 on 1 November 2017 at the GSE Head Office. The grant was approved by the Government of Germany within the framework of the Open Energy Sector Program.
The grant will be used to prepare a new loan package of EUR 100 million, namely, to prepare feasibility and environmental impact reports, study the use of renewable energy and provide technical assistance for additional measures; while the loan will be used to finance the transmission line and substation construction and rehabilitation projects in Racha-Lechkhumi, Kvemo Svaneti and Kakheti regions.
The active implementation phase of projects will start in 2019, and the main works will be completed by the end of 2020.
