Electricity Market Prices and Georgia’s Energy Security

22.12.2021

This policy research paper aims to draw the attention of stakeholders in Georgia’s energy sector to the issue of prices, their importance in energy security, and electricity supply security. The paper firstly reviews the existing academic and policy literature and afterwards analyses the current structure of the wholesale electricity market in Georgia to identify different prices and payment schemes. This analysis of the Georgian regulatory framework, along with current data and tendencies, allows us to identify some fundamental issues that are inherent in the structure of the ongoing wholesale electricity market in Georgia. As a result, this policy research paper highlights some challenges that need resolving in order to strengthen the security of supply in the electricity market.

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