Georgia Solar Report

Gain comprehensive insights into the statistics and metrics surrounding the solar production industry in Georgia

  1. Climate Top (n.d.). Sunshine & Daylight Hours in Tbilisi, Georgia. Retrieved January 21, 2025, from https://www.climate.top/georgia/sunlight/
  2. International Energy Agency (IEA) (2023, March). Georgia energy profile. Retrieved January 21, 2025, from https://www.iea.org/reports/georgia-energy-profile/energy-security
  3. Energo-Pro Georgia (n.d.). Electricity distribution tariffs of JSC “Energo-Pro Georgia”. Retrieved January 21, 2025, from https://www.energo-pro.ge/en/service/electricity-tariff/23
  4. Georgia Power (2024, July 3). Georgia Power strengthens reliability for customers, marks high performance in 2023. Retrieved January 21, 2025, from https://www.georgiapower.com/company/news-hub/press-releases/georgia-power-strengthens-reliability-for-customers,-marks-high-performance-in-2023.html
  5. International Renewable Energy Agency (2024). Renewable energy statistics 2024. Retrieved January 21, 2025, from https://www.irena.org/-/media/Files/IRENA/Agency/Publication/2024/Jul/IRENA_Renewable_Energy_Statistics_2024.pdf
  6. TBC Capital (2023, June 21). Georgian renewables: Levelized cost of electricity. Retrieved January 21, 2025, from https://tbccapital.ge/en/publications/all-publications/singleview/30005841-georgian-renewables-levelized-cost-of-electricity
  7. Advanced Energy Technologies (2024, December 17). Energy industry in Georgia. Retrieved January 21, 2025, from https://aenert.com/countries/asia/energy-industry-in-georgia/
  8. Omnic (2023, February 10). OmniFactory in Georgia goes 70% Off-Grid with solar energy. Retrieved January 21, 2025, from https://www.omnic.net/news/omnifactory-in-georgia-goes-70-off-grid-with-solar-energy
  9. International Energy Agency (IEA) (n.d.). Energy security. Retrieved January 21, 2025, from https://www.iea.org/reports/georgia-energy-profile/energy-security
  10. Green Economy Financing Facility (n.d.). A few words on solar energy in Georgia. Retrieved January 21, 2025, from https://ebrdgeff.com/georgia/en/a-few-words-on-solar-energy-in-georgia/
  11. Investor (n.d.). Solar is taking Georgia by storm, but is the grid getting burnt by the sun? Retrieved January 21, 2025, from https://www.investor.ge/2022/01/31/solar-is-taking-georgia-by-storm-but-is-the-grid-getting-burnt-by-the-sun/
  12. Agenda.ge (2023, December 26). Georgian fund, Emirati energy company sign deal on “largest” solar power plant. Retrieved January 21, 2025, from https://agenda.ge/en/news/2023/5069#gsc.tab=0
  13. National statistics office of Georgia (2024). Wages. Retrieved January 21, 2025, from https://www.geostat.ge/en/modules/categories/39/wages
  14. World salaries (n.d.). Average Solar Engineer Salary in Tbilisi, Georgia for 2025. Retrieved January 21, 2025, from https://worldsalaries.com/average-solar-engineer-salary-in-tbilisi/georgia/
  15. Salary expert (n.d.). Solar Energy System Installer. Retrieved January 21, 2025, from https://www.salaryexpert.com/salary/job/solar-energy-system-installer/georgia/tbilisi
  16. World salaries (n.d.). Average Solar Thermal Technician Salary in Tbilisi, Georgia for 2025. Retrieved January 21, 2025, from https://worldsalaries.com/average-solar-thermal-technician-salary-in-tbilisi/georgia/
  17. Worldometers (n.d.). Georgia population. Retrieved January 21, 2025, from https://www.worldometers.info/world-population/georgia-population/
  18. Cushman & Wakefield (2021). Georgia Industrial 2021. Retrieved January 21, 2025, from https://cushwake.ge/storage/files/doc/Industrial%20Snapshot_2021.pdf
  19. Georgian Water and Power (n.d.). Rates and tariffs. Retrieved January 21, 2025, from https://www.gwp.ge/en/prices
  20. Ss.ge (n.d.). Commercial properties for rent in Tbilisi. Retrieved January 21, 2025, from https://home.ss.ge/en/real-estate/l/Commercial-Real-Estate/For-Rent?cityIdList=95&page=1
  21. Statista (2024, September). Non-life insurances – Georgia. Retrieved January 21, 2025, from https://www.statista.com/outlook/fmo/insurances/non-life-insurances/georgia
  22. Energy Community (2023, November 1). Georgia – Annual Implementation Report. Retrieved January 21, 2025, from https://www.energy-community.org/dam/jcr:22372b74-4b00-406e-9c6b-34bacc595694/EnC_IR2023_Georgia.pdf
  23. The World Bank (n.d.). Georgia energy efficiency policy note. Retrieved January 21, 2025, from https://documents1.worldbank.org/curated/en/728011616751921724/pdf/Georgia-Energy-Efficiency-Policy-Note.pdf
  24. Climate change laws (2020). Law of Georgia on Energy Efficiency. Retrieved January 21, 2025, from https://climate-laws.org/document/law-of-georgia-on-energy-efficiency_4d9e
  25. Climate change laws (2020). Law of Georgia on energy efficiency of buildings. Retrieved January 21, 2025, from https://climate-laws.org/document/law-of-georgia-on-energy-efficiency-of-buildings_5009
  26. European Bank for Reconstruction and Development (EBRD) (2018). Georgia tackles energy efficiency challenge with national action plan. Retrieved January 21, 2025, from https://www.ebrd.com/documents/comms-and-bis/law-in-transition-2018-georgia-tackles.pdf
  27. Heinrich Boll Stiftung (2020, July). Solar energy in Georgia: problems, challenges and necessary steps to undertake. Retrieved January 21, 2025, from https://ge.boell.org/sites/default/files/2020-07/Solar%20systems%20in%20Georgia_Mariam%20Devidze.pdf
  28. Winrock International (2008, February). Renewable energy potential in Georgia and the policy options for its utilization. Retrieved January 21, 2025, from https://weg.ge/sites/default/files/renewable_energy1.pdf
  29. Rural Development Agency (2022). Green Grant Program. Retrieved January 21, 2025, from https://www.rda.gov.ge/en/programs/255374-mtsvane-sagranto-programa
  30. Agenda.ge (2019, July 26). Solar power systems to be installed in 87 Georgian villages without electricity. Retrieved January 21, 2025, from https://agenda.ge/en/news/2019/2036#gsc.tab=0
  31. Agenda.ge (2024, September 1). Solar power plant to be built in Georgia’s Kaspi municipality. Retrieved January 21, 2025, from https://agenda.ge/en/news/2024/40349#gsc.tab=0
  32. Power Technology (2024, October 21). Power plant profile: Masdar GEDF Solar PV Park, Georgia. Retrieved January 21, 2025, from https://www.power-technology.com/data-insights/power-plant-profile-masdar-gedf-solar-pv-park-georgia/
  33. Next Energy (n.d.). Project Pipeline. Retrieved January 21, 2025, from https://nextenergy.ge/#about

Key points

  • All figures have been converted into USD

Yearly sunshine (sun hours per year)

Georgia (Tbilisi) receives an average of 2,112 hours of sunshine per year, with an average of 5:46 of sunlight per day. 1

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kWh per kWp installed

In Georgia, the average annual electricity production from solar photovoltaic (PV) systems varies between 1,250 and 1,800 kWh per kWp installed.2

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Average cost per kWh from utility company

As of January 1, 2024, the electricity tariffs in Georgia are as follows: 3

Household Tariffs:

  • For consumption up to 101 kWh: 0.0285 $/kWh
  • For consumption from 101 kWh to 301 kWh: 0.0356 $/kWh
  • For consumption above 301 kWh: 0.0421 $/kWh

Business Tariffs (Small Enterprises):

  • For small enterprises (220/380 V): 0.0356 $/kWh

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Reliability of electrical power supply grid

The reliability of the electrical power supply grid in Georgia has been improved due to ongoing investments and modernization efforts. Key indicators include: 24

Smart Grid Technology: The integration of smart, automated devices has bolstered the grid’s resilience by enabling faster fault detection and isolation, reducing the impact of outages. Over 60% of Georgia Power’s distribution grid is now “self-healing,” significantly cutting down outage frequency.

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Infrastructure Investments: Ongoing upgrades to transmission lines, substations, and the relocation of power lines underground have further enhanced grid reliability. In 2023, Georgia Power achieved an equivalent forced outage rate (EFOR) of 1.49%, one of the best in the industry.

Additionally, electricity transmission network losses are around 2%, with outages being rare. The collection rate is nearly 100%, and estimated commercial losses remain minimal. In the gas sector, technical losses in the transmission network are about 0.5%, with loss detection conducted through regular field visits and using the Global System for Mobile Communications (GSM).

 

Detailed Information

  • All figures have been converted into USD
  • Total solar panel production capacity (installed)

    Total installed solar photovoltaic (PV) capacity in Georgia was approximately 58 MW.5

    Total solar panel production capacity (projected)

    The projected total solar panel production capacity in Georgia is estimated to be around 146 MW, with expected annual electricity generation amounting to 200 million kWh.2

    Average costs of various electricity generation sources (coal, natural gas, solar, etc)

    6

    • Hydropower plants: 128.7 $/MWh
    • Run-of-river HPPs: 71.3 $/MWh
    • Solar plants: 96.6 $/MWh
    • Onshore wind power plants: 83.4 $/MWh

    Percentages of various electricity generation sources (coal, natural gas, solar, etc)

    7

    • Hydropower: 75.6%
    • Fossil fuels: 23.8%
    • Renewable energy: 0.6%

    Average daily availability of electricity from the national grid (measured in hours)

    24

    The average daily availability of electricity from Georgia’s national grid is approximately 24 hours.

    In 2021, the System Average Interruption Duration Index (SAIDI) for major providers indicated significant variability in service reliability: Telasi JSC reported a total of 429.87 minutes of interruptions (about 7.1 hours annually), while Energo-Pro Georgia JSC recorded 1,992.48 minutes (around 33.2 hours annually).

    Overall, grid reliability has improved, enabling most areas to receive a consistent supply of electricity. By 2023, the average number of power outages in Georgia decreased by 15% compared to the previous year.

    Number of residential solar panel installations

    As of April 2022, Georgia had 397 rooftop solar PV installations (each below 500 kW) with a total capacity of 20.4 MW.2

    Total number of solar farms (installed and projected)

    There are currently 31 solar power plants in Georgia in various development stages, signed under Memoranda of Understanding (MoUs).2

    Off-grid market demand for solar panels (current and projected)

    8910

    The adoption of off-grid solar solutions is rapidly increasing in Georgia, particularly in remote and rural regions as well as for commercial use.

    The Georgian government has launched initiatives like a $704,000 project for autonomous micro-PV plants in sparsely populated mountainous areas.

    Since 2019, nearly $500,000 in credit has been granted for off-grid solar power stations, with businesses ranging from online supermarkets to heavy production companies embracing renewable energy. For instance, OmniFactory in Georgia has installed 1,000 solar panels, transitioning 70% of its electricity consumption to renewable sources with the goal of becoming fully off-grid.

    On-grid market demand for solar panels (current and projected)

    9101112

    Georgia introduced its net metering system in 2016, initially limiting connections to energy-generating stations with a capacity of up to 100 kW, primarily benefiting private households. In 2020, the Georgian National Energy and Water Supply Regulatory Commission (GNERC) raised the limit to 500 kW, enabling small and medium-sized businesses to connect and allowing generating and utilizing stations to operate in different locations. Since then, 316 stations with a total capacity of over 10 MW have joined the system.

    GNERC has ensured micro power plants have free network access and established fixed tariffs under the Electricity Supply and Consumption Rules (Resolution No. 20).

    In Tbilisi, where peak load averages 550-600 MW, the installed solar capacity is currently at about 10 MW, or just under 2%. While the grid can handle up to 10-12% of peak load from microgeneration sources, the lack of financially viable battery storage systems limits improvements in grid reliability and capacity.

    In a major step forward, Masdar, in collaboration with the Georgian Energy Development Fund (GEDF), will develop Georgia’s largest solar power plant, a 100 MW photovoltaic facility in Gardabani Municipality.

    Average monthly income of workers in solar industry (labor cost)

    13141516

    • The average monthly salary in Georgia is approximately $722.
    • Solar Engineer: the average monthly salary is approximately $2,262.
    • Solar Energy System Installer: the average monthly salary is approximately $702.
    • Solar Thermal Technician: the average monthly salary is approximately $1,334.

    Population of the country

    The current population of Georgia is 3,807,110.17

    Average overhead costs of solar panel production (with a brief breakdown)

    Estimate for Factory Rent 18

    The average rent for industrial spaces in Tbilisi ranges between $2 to $4.5 per square meter, depending on the location and condition of the property.

    Industrial Electricity Rates 3

    In Tbilisi, Georgia, industrial electricity rates vary based on the voltage level and the type of consumer. Here are some of the current tariffs:

    • 220/380 V: For business customers, including small enterprises, the rate is 0.0356 $/kWh
    • 3-6-10 kV: The rate for business consumers is 0.014 $/kWh
    • 35-110 kV: The rate for business consumers is 0.007 $/kWh

    These rates are applicable from January 1, 2024, to January 1, 2026, as per the current regulations.

    Water Costs 19

    In Georgia, the water tariff for businesses (legal entities) is $3.092 per cubic meter for metered consumption. This includes $2.365 for water supply and $0.726 for wastewater treatment.

    Salaries and Wages 141516

    Monthly salaries of workers in solar industry in Georgia ranges from $702 to $2,262, depending on the position.

    Rent for Office Space 20

    In Georgia, the price for office space rental varies from $18 to $30 monthly per square meter, depending on size and amenities.

    Insurance 21

    The average spending per capita for non-life insurance in Georgia is expected to reach $338.70 in 2025.

    A summary of the energy infrastructure

    27922

    Energy Mix

    Georgia’s energy mix is dominated by hydroelectric power, which accounted for about 76% of electricity generation in 2021. The Enguri hydro facility is a significant contributor, with a capacity of 1,300 MW.

    Natural gas-fired facilities generate about 19% of Georgia’s electricity. The country imports natural gas primarily from Azerbaijan and Russia.

    Renewable Power contributes a smaller portion, less than 1% of total electricity generation.

    Key Institutions

    GSE (Georgian State Electrosystem): The single transmission system operator in Georgia, responsible for managing the 500/220/110 kV grid.

    Telasi JSC: Distributes electricity in Tbilisi and is one of the main electricity distribution companies in Georgia.

    Energo-Pro Georgia JSC: Another major electricity distribution company, serving areas outside Tbilisi.

    GNERC (Georgian National Energy Regulatory Commission): Regulates the energy sector, including tariffs and licensing.

    Export / Import

    Electricity: Georgia has cross-border connections with Russia, Azerbaijan, Armenia, and Turkey, facilitating electricity trade. However, it primarily relies on domestic hydroelectric power for its needs.

    Natural Gas: Imports natural gas from Azerbaijan and Russia. It also transits gas from Russia to Armenia and from Azerbaijan to Turkey.

    Oil: Imports oil products from Azerbaijan and Russia, and transits crude oil from Azerbaijan to Turkey via the Baku-Tbilisi-Ceyhan pipeline.

    Key Projects

    Black Sea Transmission Network (BSTN) Project: Connects Georgia and Turkey via a 700 MW back-to-back DC interconnection.

    Hydroelectric Power Plants (HPPs): Development of new HPPs is ongoing to increase domestic hydroelectric capacity.

    Gas Pipeline Projects: Includes the Karadaghi-Tbilisi gas interconnection and the South Caucasus Pipeline.

    Georgia-Russia-Azerbaijan Power System Connection: A feasibility study is underway for this project.

    Georgia-Romania Black Sea Submarine Cable Project: Another feasibility study for enhancing regional energy connectivity.

    Some of the government regulations surrounding solar panel production

    2324252627

    Law of Georgia on Energy Efficiency (2020): This law aims to increase energy savings, enhance energy supply security, and eliminate barriers to improving energy efficiency. It sets procedures for developing national energy efficiency targets and adopting action plans, ensuring supervision and monitoring of energy efficiency policies.

    Law of Georgia on Energy Efficiency of Buildings (2020): This law focuses on improving the energy performance of buildings by setting minimum energy efficiency requirements and establishing a methodology for calculating energy performance. It also sets rules for energy performance certification.

    National Energy Efficiency Action Plan (NEEAP): Implemented from 2019 to 2020, this plan outlines investment and policy measures to reduce energy consumption, improve competitiveness, and reduce greenhouse gas emissions. It includes targets for energy savings across sectors, including the public sector.

    Energy Community Obligations: Georgia’s membership in the Energy Community requires it to align its energy policies with EU directives, including the 2012 Energy Efficiency Directive (EED). This involves setting specific targets for energy efficiency and implementing measures to achieve them.

    Grid Connection: Electricity distribution companies like Telasi and Energo-Pro Georgia are required to connect renewable energy sources to their networks, though they have limitations on the capacity they can handle.

    Government initiatives in solar panel production (includes investments and subsidies)

    1012282930

    Net Metering System: Georgia introduced a net metering system in 2016, allowing households and small businesses to generate and sell excess energy back to the grid. Initially, it was limited to systems up to 100 kW, but this was increased to 500 kW in 2020, enabling more businesses to participate.

    Historical Tax Exemptions: Before 2005, Georgia offered tax benefits for renewable energy (RE) investments, including VAT exemptions, land use tax exemptions, and property and profit tax exemptions for renewable energy equipment import, manufacturing, and operation. These benefits were aimed at encouraging the development of renewable energy sources.

    The 2005 tax code abolished these specific tax benefits for renewable energy investments, meaning that the current customs legislation does not provide special treatment for the import, manufacturing, or realization of renewable energy equipment or energy-efficient appliances.

    Green Grants Program: The Green Grant Program, supported by the European Union and the United Nations Development Program, aims to facilitate access to renewable energy technologies in rural areas and the business sector. While not specifically focused on solar panels, it promotes energy-efficient and renewable energy technologies.

    USAID Support: In 2019, the USAID/Energy Program provided technical support for installing solar panels in 87 villages across Georgia, enhancing energy access in off-grid areas.

    International Cooperation: Georgia’s cooperation with international companies and organizations, such as the UAE’s Masdar Renewable Energy Company, indicates potential for future investments in large-scale solar projects.

    Notable solar projects in the country (installed and projected)

    313233

    Kaspi Solar Power Plant

    • Capacity: 10 MW
    • Location: Kaspi municipality, Georgia
    • Year: Construction authorized in 2024, expected to start soon
    • Investor: Energy Group (a Georgian private company)
    • Details: This project aims to enhance energy independence and security in Georgia. It will generate approximately 14.077 million kWh of electricity annually.

    Masdar GEDF Solar PV Park

    • Capacity: 100 MW
    • Location: Kvemo Kartli, Georgia
    • Year: Construction expected to start in 2025, operational by 2027
    • Investor: Masdar (Abu Dhabi Future Energy) and Georgian Energy Development Fund (GEDF)
    • Details: This will be Georgia’s largest utility-scale solar power plant, supporting the country’s energy diversification efforts.

    Udabno Solar Power Plant

    • Capacity: 6.4 MW
    • Location: Udabno village, Sagarejo municipality, Georgia
    • Year: Construction expected to start in February 2025
    • Investor: Georgian Solar Company LLC (a subsidiary of Next Energy LLC) in partnership with GEDF
    • Details: The project is currently selecting an EPC contractor.

    Kutaisi Solar Power Plant

    • Capacity: 12 MW
    • Location: Chognari village, Terjola municipality, Georgia
    • Year: Construction expected to start by May 2025
    • Investor: Aia Wind LLC (a subsidiary of Next Energy LLC)
    • Details: Final feasibility studies and permits are expected by March 2025.

    Qiziki Solar Power Plant (Iliatsminda Solar Power Plant)

    • Capacity: 32.8 MW
    • Location: Iliatsminda village, Signaghi municipality, Georgia
    • Year: Construction expected to start by March 2025
    • Investor: Qiziki Solar LLC (a subsidiary of Next Energy LLC)
    • Details: The project won the CfD tariff auction and has signed a memorandum with the Government of Georgia.

    Some of the notable solar companies (plus brief details on what they do)

    33

    Next Energy LLC

    • Headquarters: Tbilisi, Georgia
    • Website: https://nextenergy.ge/
    • Details: They develop several prominent utility-scale solar and wind power plants across Georgia, offering comprehensive services that include identifying renewable energy projects, conducting feasibility studies, securing necessary memorandums and permits, and designing and constructing the facilities.

    Sun House LLC

    • Headquarters: Tbilisi, Georgia
    • Website: https://sunhouse.ge/en/
    • Details: A leading solar installer and pioneer in solar energy in Georgia, with 30 years of experience, specializing in photovoltaic stations and modern water heating systems.

    Step Energy

    • Headquarters: Tbilisi, Georgia
    • Website: https://stepenergy.ge/en/
    • Details: Step Energy actively oversees the entire project lifecycle—from initial design to final realization—while providing expertise in solar and wind power development, electric vehicle charging solutions, and energy efficiency for both Georgian and international markets.

    Green Energy

    • Headquarters: Tbilisi, Georgia
    • Website: https://greenenergy.ge/
    • Details: Green Energy specializes in the design and construction of solar PV systems, having already completed commercial and residential projects with a total capacity of up to 13 MW, and is now building Georgia’s largest industrial solar PV station.

    Helios Energy

    • Headquarters: Tbilisi, Georgia
    • Website: https://helios.ge/
    • Details: Helios Energy, established in 2017, is specializing in the installation of grid-tied, off-grid, and hybrid solar systems.

    EcoVille

    • Headquarters: Tbilisi, Georgia
    • Website: https://ecoville.ge/
    • Details: EcoVille provides end-to-end solutions to make solar energy accessible, offering long-term savings, reliable support, and empowering clients to take control of their energy needs.

    EcoSolution

    • Headquarters: Tbilisi, Georgia
    • Website: https://www.ecosolution.ge/
    • Details: EcoSolution is specializing in consultation, planning, installation, and post-installation services for solar energy systems, aiming to make solar energy accessible to all by providing maximum efficiency with minimal costs.

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