Georgia with its abundant high mountains and fast flowing rivers is one of the leading countries in the
world in terms of hydropower potential. Currently, only 26% of Georgia’s hydro resources are utilized amid rising commodity prices and looming power deficit in the region. The Georgian government has outlined hydropower sector development as one of the top priorities of the cabinet aiming to transform Georgia into a key regional electricity provider. The construction of a 500 kV Georgian-Turkey power transmission line funded by Government of Georgia, KfW and the EBRD is expected to be completed in 2012 – connecting Georgia to the world’s second fastest-growing energy consumer.
CEI intends to concentrate on greenfield investments in small and medium-sized hydropower plants (HPP). The company’s
long term strategy is to own a portfolio of 5-6 small and medium size HPPs in Georgia with the cumulative capacity of 100-200 MW within the next decade.
The company is in the process of constructing a 48 MW hydropower plant on the Mtkvari River in Akhaltsikhe, Georgia. The hydropower plant is expected to become fully operational by 2014. CEI has identified several attractive projects for future potential construction.