ON ENEGRY EFFICIENCY

ON ENEGRY EFFICIENCY
Document number 5898-სს
Document issuer Parliament of Georgia
Date of issuing 21/05/2020
Document type Law of Georgia
Source and date of publishing Website, 28/05/2020
Registration code 300280020.05.001.019857
5898-სს
21/05/2020
Website, 28/05/2020
300280020.05.001.019857
ON ENEGRY EFFICIENCY
Parliament of Georgia

 

LAW OF GEORGIA

ON ENEGRY EFFICIENCY

 

Chapter I − General Provisions

 

Article 1 − Purpose of the Law

The purpose of this Law is:

a) to increase energy savings, energy supply security and energy independence, as well as to maximally eliminate barriers to improving energy efficiency in the energy market;

b) to determine the general legal basis for the measures required to promote and implement energy efficiency in the country in order to ensure the achievement of the goals set out in the Protocol on the Accession of Georgia to the Treaty Establishing the Energy Community;

c) to establish a procedure for developing a national energy efficiency target;

d) to establish a procedure for adopting an energy efficiency action plan;

e) to establish an energy efficiency commitment scheme and/or alternative policy measures to ensure energy savings;

f) to implement an energy efficiency policy, its coordination, control, supervision and monitoring in the country.

 

Article 2 − Scope of the Law

1. The scope of this Law includes:

a) a horizontal (cross-sectoral) policy that impacts public and private sectors and is related to energy services and their monitoring, measurement and confirmation;

b) specific sectors: private building, including building for commercial purposes, and the sectors of industry, energy production, transformation, transmission and distribution.

2. This Law shall define the obligations and responsibility measures of public and private institutions, household customers, energy service providers, and other industry and economic sectors in the process of energy consumption efficiency, energy saving, and the market development of energy services.

 

Article 3 − Definition of terms

For the purposes of this Law, the terms used herein shall have the following meanings:

a) substantial refurbishment − the upgrading of equipment, the cost of which exceeds 50% of the investment amount required for the acquisition of new, similar equipment;

b) smart metering system − an electronic system that can measure energy consumption, provide more information than standard information recorded by a meter, and exchange data through electronic communication;

c) transmission system operator − an operator of an electricity and/or a natural gas transmission system;

d) measurement and verification platform ('Platform') − an electronic platform used to verify the various parameters of energy saving, including energy consumption;

e) distribution system operator − a licensee of electricity and/or natural gas distribution;

f) energy obtained from renewable sources − energy obtained from renewable sources, in particular: wind, solar, aerothermal, geothermal, hydrothermal, ocean energy, hydro energy, biomass, gas obtained from organic matter decomposed on landfills, gas generated in sewage treatment plants, and biogas;

g) environmental management system − a series of interconnected and interactive elements of the environmental measures of an enterprise, which define ecological tasks and a strategy for their fulfilment;

h) economically justified demand − the amount of energy that does not exceed the amount of energy required for heating and cooling and which can be met, in addition to cogeneration, in a different way, with energy generated in market conditions;

i) Energy Community – an international organisation that aims at helping its member states to establish an integrated Pan-European (having European values) energy market;

j) energy − all kinds of energy, including fuel energy, heat energy, energy obtained from renewable sources, electricity, or any other form of energy;

k) energy distributor − a natural or legal person (including a distribution system operator) who is responsible for transporting energy or transporting energy to distribution stations in order to deliver it to its end user;

l) national energy saving target − a reduction indicator of primary energy consumption or final energy consumption, which is defined by the National Energy Efficiency Action Plan (NEEAP), or the Annual Energy Efficiency Action Plan;

m) energy provider − a natural or legal person who provides energy to an end user on the basis of the legislation of Georgia and a contractual relationship;

n) final energy consumption − energy that is provided to the sectors of industry, transport, households, services and agriculture. Final energy consumption does not include energy supplied to the energy sector and energy supplied for the transformation of energy;

o) energy audit − a systematic procedure the purpose of which is to find existing information on the energy efficiency of a building, the energy consumption of an industrial or commercial process and/or equipment, and public or private service facilities, to identify and calculate the cost-effective potential of energy saving, and to report the results;

p) energy saving − the amount of energy saved, which is calculated in normal environmental conditions affecting energy consumption before the implementation of measures to improve energy efficiency, and the difference between the measured and/or calculated amounts of energy consumed after the implementation of said measures;

q) financial value of energy saving − the monetary value of the physical indicators of achieved and verified energy saving (expressed as kW-h or joules), which is agreed by an energy performance contract;

r) energy efficient public procurement − the procurement of a product, service or building having high energy efficiency by a public institution, taking into account cost-effectiveness, economic expediency, a wide range of sustainability, technical compliance and proper competition;

s) energy efficiency − the ratio of performed work, a provided service, product and/or energy, to the energy consumed;

t) energy efficiency improvement measures − measures through the implementation of which the same result is achieved by consuming less energy, or better results are achieved by consuming the same amount of energy;

u) improving energy efficiency − increasing energy efficiency as a result of technological, behavioural and/or economic changes;

v) National Energy Efficiency Action Plan (NEEAP) − an action plan approved by an ordinance of the Government of Georgia, and prepared in accordance with the requirements of the legislation of Georgia, that defines energy saving measures and envisages the implementation of energy efficiency measures in energy consumption sectors;

w) energy efficiency commitment scheme − a mechanism that obliges the involved parties to achieve and/or procure energy saving targets by implementing proven energy efficiency measures;

x) energy efficiency policy measures − regulatory, financial, fiscal, voluntary or informational support tools established and implemented by energy market participants in order to implement energy efficiency measures and to facilitate and stimulate the provision and procurement of energy services;

y) energy efficiency certificate − is used with the meaning defined by the Law of Georgia on Energy Efficiency of Buildings;

z) energy performance contract − a contractual relationship between a recipient and a supplier of energy efficiency improvement measures, which is verified and monitored throughout the whole term of the contract, and as a result of which the payback of investment made in labour, services or goods is carried out in accordance with an improvement up to the level agreed upon in the contract and/or in accordance with compliance with other agreed criteria of energy performance, including financial savings;

z1) investor of energy performance contract − a party that bears most of the risks and receives most of the benefits of implementing measures provided for by an energy performance contract;

z2) energy management provider − a natural person certified in accordance with the Energy Manager Certification Programme, or a legal entity with a person certified in accordance with the Energy Manager Certification Programme;

z3) energy management system − a series of interconnected or interdependent elements of a management plan that define an energy efficiency target and a strategy for achieving that target;

z4) energy service − based on an energy performance contract, the material benefits obtained from various services, including operation, operational service and process management, and/or a combination of energy and energy efficient technologies, that under normal conditions lead to a measurable and verifiable result in the improvement of energy efficiency or a primary energy saving;

z5) recipient of energy service − a natural or legal person who owns or uses an energy service recipient means, or a building;

z6) energy service provider − a natural or legal person providing energy services or other energy efficiency improvement measures to an end user or a facility in the ownership, possession, or use of the recipient of the energy service;

z7) provision of energy service − carrying out measures to improve energy efficiency in the equipment or in the buildings/facilities of end users on the basis of an energy performance contract, for which the energy service provider receives compensation for the energy saving achieved by the end user through the implementation of investment by the energy service provider;

z8) energy efficient central heating and cooling − central heating and cooling systems that consume at least 50% of the energy received from renewable sources, or 50% of waste (recovered) heat energy, or 75% of heat received from cogeneration and/or 50% of the above-mentioned energy and heat combination;

z9) nearly zero energy consumption building − is used with the meaning defined by the Law of Georgia on Energy Efficiency of Buildings;

z10) individual measure − a measure that is implemented in accordance with an energy efficiency policy and leads to a measurable and verifiable and/or assessable improvement of energy efficiency;

z11) investment in intangible assets − investment in consulting services, utilisation, management, procurement and/or other activities that provides a verifiable energy saving and/or energy-related financial savings to the energy service recipient by changing the operating conditions of its buildings/facilities and/or improving energy management;

z12) investment in inseparable tangible assets − an investment made by an energy service provider in the following assets based on an energy performance contract: a building shell, assets required for the operational service of a building, including an asset designed to meet the specific needs of an end user and which is connected to buildings/facilities of the end user so that it cannot be separated, or such separation would cause substantial expense or reduce the value of that asset;

z13) investment in separable tangible assets − investment made by an energy service provider in the assets owned, maintained and used by it, which are used to meet the energy needs of an end user;

z14) cogeneration − the process of the simultaneous production (generation) of heat (thermal) energy and electric power or mechanical energy;

z15) the Commission – the legal entity under public law called the Georgian National Energy and Water Supply Regulatory Commission;

z16) major reconstruction − is used with the meaning defined by the Law of Georgia on Energy Efficiency of Buildings;

z17) participant − an enterprise or public institution that has voluntarily undertaken to achieve specific objectives or which is included in the scope of this Law or a document adopted on the basis of this Law;

z18) voluntary agreement − a contract concluded between an administrative body and one or more private legal persons (enterprises), the purpose of which, in addition to the obligations defined by the legislation of Georgia, is to perform environmental tasks above a set target or to improve the state of the environment;

z19)) responsible person – an administrative body, a participant in the energy market, an energy service provider, an energy auditor, an enterprise of the first category, or another participating party;

z20) primary energy consumption – the total domestic energy consumption throughout the whole territory of the country (including losses in the process of energy transformation, transmission and distribution), except for energy consumption for non-energy purposes;

z21) enterprise of the first category − an enterprise whose performance indicators at the end of the annual reporting period meet at least 2 of the following 3 criteria:

z22 a) the total value of its assets exceeds 50 million GEL;

z22 b) its income exceeds 100 million GEL;

z22 c) its average number of employees in the reporting period exceeds 250;

z23) end user − a natural or legal person who buys energy for his/her/its own consumption;

z24) total useful floor area − the area of a building or the part of a building where energy is used to create an indoor climate;

z25) authorised person/party − a legal entity authorised by the Government or the state agency of Georgia to develop, manage and operate an energy efficiency financing scheme;

z26) annual report − a document that is prepared annually, and reflects the progress made in the implementation of the national energy efficiency target;

z27) energy efficiency of a building − is used with the meaning defined by the Law of Georgia on Energy Efficiency of Buildings;

z28) central heating or central cooling − the supply of heat (thermal) energy to several buildings or other facilities through a single network from a central source by means of steam, hot water or cold liquid to heat or cool an indoor space and/or a technological process.

 

Chapter II − Energy Efficiency Policy and its Measures

 

Article 4 − Energy efficiency policy

1. The energy efficiency policy shall provide for the creation of a legislative framework for energy efficiency, the determination of national targets for energy efficiency and energy saving, and the elimination of barriers that hinder the efficiency of energy supply and consumption and the achievement of the national energy saving target set by the NEEAP.

2. The implementation of energy efficiency policies shall involve various measures and initiatives, including:

a) the identification of projects, and the determination of technical assistance and grant distribution schemes;

b) the adoption of regulatory norms for the energy efficiency of buildings on the basis of the legislation of Georgia, including the approval of a procedure for the certification of the energy efficiency of buildings, and raising qualifications in the construction sector;

c) deepening the knowledge of the business community, establishing procedures for energy audits and energy management systems, and raising the qualifications of energy auditors and energy service providers;

d) raising the level of knowledge and the experience of end users in energy efficiency, including entrepreneurial entities and administrative bodies in the field of production and trade;

e) the establishment of energy efficient public procurement practices;

f) improving energy efficiency in energy conversion in the transmission and distribution sectors, which involves reducing electric power and/or natural gas losses in networks, and increasing the efficiency of natural gas power plants, by switching to combined cycle power plants;

g) improving the energy efficiency of final energy consumption devices, including lighting, cars, pumps, engines and plant boilers;

f) the initiation of the introduction of mechanisms for the implementation of financial incentives and tax concessions in order to promote energy efficiency measures;

i) the introduction of qualification, accreditation and certification schemes in industry, construction, and other relevant sectors, for the purposes of supervision and reporting.

3. When implementing the energy efficiency policy, the Government of Georgia shall consider the public benefit in order to achieve the following goals:

a) to take measures to determine prices reflecting the real value of energy so that the motivation of end users to implement energy efficient measures is not reduced;

b) to approve the NEEAP submitted by the Ministry of Economy and Sustainable Development of Georgia (the 'Ministry');

c) to play an exemplary role in the implementation of measures to improve energy efficiency;

d) to promote the implementation of measures to improve energy efficiency by end users by developing financial instruments;

e) to strengthen international and regional cooperation;

f) to run information campaigns.

4. In order to implement the energy efficiency policy, the Ministry shall be obliged to:

a) implement energy efficiency policies through the development and implementation of key directives, strategies, action plans and state programmes, within the scope of its competence, in coordination with public and state agencies and the private sector;

b) develop the relevant legal framework defined by this Law and facilitate its implementation;

c) develop the NEEAP, which shall determine the national energy saving target, and submit it to the Government of Georgia for approval;

d) determine appropriate measures to improve energy efficiency and promote their implementation;

e) promote investments within the scope of its competence in order to improve energy efficiency;

f) represent Georgia in relevant international organisations and conduct relationships with them, including providing them with reports;

g) submit proposals to the Government of Georgia for the purpose of encouraging state and municipal bodies, so that state and municipal bodies, within the scope of their competence:

g.a) independently and within the framework of the Integrated National Energy and Climate Plan (INECP), develop an energy efficiency action plan that shall define specific goals and actions for energy saving and improving energy efficiency;

g.b) reflect an energy management system in said energy efficiency action plan, and include an energy audit as an important tool of said plan;

g.c) in appropriate cases, use energy service provider companies and an energy performance contract to finance refurbishment, and implement plans to maintain or improve energy efficiency in the long term;

g.d) purchase products, services and buildings with high energy efficiency, taking into account technical compliance, sustainability maintenance, economic expediency, cost-effectiveness and proper competition.

5. For the purposes of this Law, the Ministry shall approve one of the following measures by a relevant subordinate normative act:

a) an energy efficiency commitment scheme;

b) alternative policy measures in accordance with the principles provided for by paragraphs 6, 7 and 8 of this Article;

c) an energy efficiency commitment scheme and alternative policy measures, jointly.

6. For the purposes of paragraph 5 of this Article, the Ministry shall ensure setting the annual energy saving targets in every 3 years on the basis of the average indicator of energy sold to end users in the previous 3 years. These targets shall be set for each subsequent year by the NEEAP, or a subordinate normative act of the Ministry, and shall be determined as follows:

a) in the year following the approval of the NEEAP − in the amount of 0.5% of the average indicator of energy sold to end users in the previous 3 years prior to the approval of the NEEAP;

b) in the second year after the approval of the NEEAP − in the amount of 0.5% of the average indicator of energy sold to end users in the previous 3 years prior to the approval of the NEEAP;

c) in the third year after the approval of the NEEAP − in the amount of 0.7% of the average indicator of energy sold to end users in the previous 3 years prior to the approval of the NEEAP.

7. An energy efficiency commitment scheme, taking into account the accessibility and availability of funds required to meet the relevant obligation, may determine the commitment of an energy distributor and an energy supplier to ensure the achievement of energy savings in accordance with said scheme:

a) through loss reduction programmes in the process of energy transformation, transmission and distribution;

b) through programmes for the reduction of energy consumption by end users.

8. The amount of energy savings and the corresponding schedule achieved within the framework of an energy efficiency commitment scheme shall be determined by a subordinate normative act of the Ministry. Energy saving targets shall not oblige the energy supplier and the energy distributor to reduce the absolute amount of energy sold. An energy supplier and an energy distributor may achieve energy savings in order to implement energy efficiency measures, through the encouragement of their own end users, or the end users of other participants in the energy market, including other energy suppliers.

9. Alternative energy saving policy measures and energy saving targets shall be in compliance with the amount of energy savings defined in paragraph 6 of this article. The aim of the alternative policy measures shall be to implement specific technical/investment measures provided for by the NEEAP, in particular:

a) the introduction of mandatory energy efficiency measures together with the implementation of energy audits in the industry and promotion of their implementation;

b) the introduction of study and training programmes and energy consultation programmes;

c) the introduction of energy efficiency standards, norms and energy labelling schemes for household appliances.

10. Within 3 months after the approval of the NEEAP, the Ministry shall submit to the Energy Community Secretariat (the 'Secretariat') a report prepared in accordance with Article 5(3) of this Law on alternative policy measures, which shall include information on achieving the required amount of energy savings through alternative policy measures and meeting the criteria of alternative policy measures provided for by the same article.

 

Article 5 − Alternative policy measures

1. When determining alternative policy measures, the Ministry shall take into account the following requirements:

a) alternative policy measures shall ensure the achievement of the national energy saving target determined in Article 4 of this Law;

b) the target amount of energy savings to be achieved through alternative policy measures shall be determined in a transparent and non-discriminatory manner, in cooperation with the parties responsible for achieving energy savings and implementing these measures;

c) the amount of energy savings to be achieved through alternative policy measures is the saving of final energy consumption or primary energy consumption, which is achieved through the application of the conversion factor provided for by Article 9 of this Law;

d) energy savings shall be calculated through the methods and principles provided for by subordinate normative acts adopted for the purposes of the implementation of this Law;

e) the obligations of a relevant authorised party, a participating party or an authorised state body shall be determined;

f) the party responsible for achieving energy saving shall be obliged to submit and make public an annual report on the achieved energy saving, except in cases where it is not expedient due to insufficient information on annual data related to energy saving;

g) the monitoring of the results of alternative policy measures shall be carried out, as well as the implementation of appropriate measures in cases of unsatisfactory progress;

h) a control system of the results of measures to improve energy efficiency, defined by alternative policy measures, shall be introduced.

2. Data reflecting the trend of energy savings through alternative policy measures shall be published annually on the website of the Ministry. For the purposes of Article 4(9) of this Law, the Ministry shall ensure the prevention of the double calculation of energy savings when alternative policy measures, or an individual measure that is not defined by alternative policy measures, coincide.

3. A subordinate normative act of the Ministry shall approve a procedure for submitting a notification to the Secretariat on alternative policy measures provided for by the NEEAP.

 

Article 6 − Implementation, control and supervision of energy efficiency measures

1. The Ministry shall control and supervise the persons responsible for the implementation of energy efficiency measures defined by the legislation of Georgia in accordance with the rules established by this Law and subordinate normative acts.

2. The Ministry shall ensure:

a) the introduction of an energy management system and an energy audit;

b) the quality control of energy efficient devices and energy services;

c) the establishment of energy performance certification rules for energy auditors and persons who implement energy management, and the development and deployment of an energy performance certificate issuer, and technical inspector certification programmes;

d) the development of a methodology for calculating energy savings achieved through measures taken at the national level, and a methodology for calculating energy savings achieved through individual measures;

e) the confirmation of an energy saving target achieved by an energy consumer by providing energy services;

f) the development and approval of the procedures for reporting on the implementation of energy efficiency improvement measures and on achieved energy savings;

g) the creation, updating and monitoring of a relevant register for the purposes of Article 20 of this Law;

h) the implementation of a detailed assessment of the potential for the application of high-efficiency cogeneration, and efficient central heating and cooling, and the implementation of cost-effectiveness analysis;

i) the implementation and encouragement/facilitation of pilot (demonstration) projects;

j) the introduction of training programmes and energy consultation programmes and raising awareness activities;

k) the facilitation of the functioning of the energy services market.

3. The Ministry shall:

a) control and supervise:

a.a) the implementation of the NEEAP;

a.b) energy savings achieved within an energy efficiency commitment scheme and/or through alternative policy measures;

a.c) the activities of energy auditors and experts included in the list of experts developed in accordance with the procedures established by this Law;

a.d) the implementation of an energy audit in accordance with Article 19(2) of this Law by enterprises of the first category;

a.e) the status of the introduction of a certified energy management system and/or a formal and certified environmental management system;

a.f) the compliance of an energy audit report with the requirements of the legislation of Georgia;

b) in the case of the violation of the requirements of the relevant legislation, draw up a protocol of an administrative offence and make a decision on imposing an administrative sanction/penalty;

c) establish the compliance of the energy labelling procedure of an energy consumption product with the requirements of the legislation of Georgia in accordance with the requirements of the Law of Georgia on Energy Labelling;

d) check an energy saving target achieved by an energy consumer through providing energy services for the purpose of its verification;

e) systematically monitor energy savings achieved by measures taken at the national level on the Platform in order to measure and verify them;

f) analyse annually the energy consumption by administrative bodies;

g) develop guidelines and recommendations for energy saving and energy efficiency measures for administrative bodies, individual users, and/or consumer groups;

h) submit reports in accordance with the purposes of this Law;

i) issue administrative acts for the purpose of exercising the rights defined, and fulfilling the duties provided for by this Law;

j) facilitate:

j.a) the implementation of the measures envisaged by the NEEAP and this Law;

j.b) the implementation of projects and programmes in the public and private sectors for the purpose of introducing energy efficiency;

j.c) the preparation of reports provided for by this Law for submission to the Secretariat;

k) the implementation of other requirements provided for by the legislation of Georgia.

 

Article 7 − Popularisation, promotion and implementation of programmes, measures and activities by the Ministry

The Ministry shall make popular, promote and implement, in coordination with international and regional donor organisations, and through the mobilisation of funds, the following programmes, measures and activities in the sectors of buildings, industry, and energy production, transmission and distribution:

a) the introduction of an energy management system and an energy audit;

b) the promotion of the introduction of energy efficient technologies in the sectors of buildings, industry, transport, and energy production, transmission and distribution;

c) the improvement of the energy performance of buildings, street lighting and transport used by administrative bodies, and energy consultation programmes;

d) energy performance certificate issuer and technical inspector certification programmes for energy auditors and persons who implement energy management in industry;

e) information campaigns on vehicle eco-driving;

f) programmes for the use of alternative energy sources, including the introduction of energy-efficient stoves and solar-powered water heaters.

 

Article 8 − National energy saving target

1. The national energy saving target, either the amount of primary energy consumption or the amount of final energy consumption savings, shall be determined by the NEEAP once in every 3 years for the following 3 years. For long-term purposes, an additional indicative (guiding) target may be determined.

2. When determining the national energy saving target, the following shall be considered:

a) the expected energy consumption in the period specified in paragraph 1 of this article;

b) the implementation of measures provided for by this Law;

c) the remaining cost-effective potential for energy saving;

d) the forecast for Gross Domestic Product (GDP) growth;

e) changes in energy imports and exports;

f) the consumption of energy obtained from renewable sources, the use of nuclear energy (if any), and the construction of carbon dioxide capture and storage infrastructure (if any);

g) the results of energy efficiency measures implemented in the previous period.

3. The Ministry shall prepare and submit to the Secretariat an annual report on the fulfilment of the national energy efficiency target in accordance with the rules of reporting on the fulfilment of national energy efficiency target for the Secretariat.

 

Article 9 − National energy efficiency action plan (NEEAP)

1. The NEEAP shall identify energy efficiency policy implementation measures and energy efficiency improvement measures.

2. The NEEAP shall include:

a) the assessment of energy consumption by the country and its presentation;

b) long-term goals (including the National Energy Saving Framework), energy efficiency improvement measures, and relevant indicators;

c) the national energy saving target;

d) bodies responsible for the implementation of the NEEAP within the established time limit;

e) energy efficiency improvement measures, in accordance with the energy and other strategic documents adopted by the Government of Georgia;

f) a plan to improve the energy efficiency of existing buildings;

g) a plan to increase the number of nearly zero energy consumption buildings;

h) a list of measures that shall ensure the refurbishment of 1% of the total area of a building in the occupancy of an administrative body, which needs to be heated or cooled, in order to achieve the minimum energy performance specified for the building or part of the building;

i) the calculation of expected energy savings in accordance with the procedures for the monitoring, measuring and verification of energy savings;

j) the conversion factor for energy saving and energy consumption planning and reporting purposes;

k) the finances and estimated sources of funding for the implementation of the NEEAP, including state support/funds allocated by the Budget, private investment, funds allocated by donors, and other sources.

3. The NEEAP developed by the Ministry shall be submitted for approval to the Government of Georgia once in every 3 years.

4. The Ministry shall submit to the Secretariat the NEEAP approved by the Government of Georgia. The documents to be submitted to it shall include an analysis of the achievement of the objectives set for the previous year.

 

Article 10 − Annual Energy Efficiency Action Plan

1. The Ministry shall be authorised to adopt the Annual Energy Efficiency Action Plan if necessary.

2. The Annual Energy Efficiency Action Plan shall include (but shall not be limited to):

a) an analysis of the results of the tasks determined by the previous action plan;

b) the persons responsible for the implementation of the action plan;

c) energy efficiency improvement measures, in accordance with the energy and other strategic documents adopted by the Government of Georgia;

d) a means of monitoring the implementation of the action plan and the reporting plan;

e) the sources of the funding of measures.

 

Article 11 − Platform (measurement and verification system)

1. Energy savings achieved through measures taken at the national level and energy savings achieved through individual measures shall be placed on the Platform.

2. On the Platform shall be placed information/data:

a) on the consumption of energy by administrative bodies;

b) on the implementation of energy efficiency measures by the obligated persons/parties determined by paragraph 3 of this article and the energy savings achieved by these measures.

3. The obligation to place information/data on the Platform shall be imposed on:

a) an administrative body that submits information to the Ministry on cases, measures and circumstances which are directly or indirectly related to energy consumption, including on the implementation of measures envisaged by the NEEAP and/or requested by the Ministry;

b) an energy distributor, who, in accordance with paragraph 4(c) of this article, shall place data on energy consumption by an end user;

c) an energy service provider, who places data on the energy savings achieved by the implementation of investments and relevant evidence thereof;

d) a supplier of a subsidy, who places data on the activities planned for the next year no later than November of the current year, and reports on activities carried out in the previous year no later than February of the following year.

4. The format of the Platform shall be determined, and the procedure for placing information/data thereon shall be approved, by a subordinate normative act of the Ministry. It shall include:

a) the methodology for calculating energy savings achieved through measures taken at the national level;

b) the methodology for calculating energy savings achieved through individual measures;

c) the form of data to be placed on the Platform by the obligated persons/parties referred to in paragraph 3 of this article;

d) information on energy efficiency certificates and inspection reports on heating and air conditioning systems, and their objectives and cost-effective methods for improving the energy efficiency of buildings;

e) procedures for the confirmation of energy savings and resolving disputes related to energy saving.

 

Chapter III − Horizontal (Cross-Sectoral) Policy Measures

 

Article 12 − Obligations determined for administrative bodies in order to promote the development of the energy market

1. Administrative bodies shall ensure the implementation of recommendations received from the Ministry to improve energy consumption efficiency and energy efficiency.

2. In order to develop the energy services market, administrative bodies shall promote the relationship between energy service providers and energy service recipients by the following means:

a) the Government of Georgia shall, through measures provided for by the NEEAP, assist energy service providers in carrying out relevant activities;

b) the regulations of the Government of Georgia shall determine procedures and guidelines for the implementation of energy efficiency in the field of public procurement, and procedures for budgeting the implementation of an energy performance contract for energy services for buildings and other assets in the occupancy of an administrative body (as a service recipient).

3. In order to promote the functioning of the energy services market, the Ministry shall be obliged to:

a) constantly take care to reduce and eliminate conditions hindering the functioning of the energy services market. If an energy supplier or energy distributor impedes the satisfaction of demand for energy services, the Ministry shall be authorised to request it to stop hindering the functioning of the energy services market and impose responsibility in accordance with Article 26 of this Law;

b) publish on its website a copy of an energy performance contract for a building occupied by an administrative body that is approved by the Ministry;

c) ensure the dissemination of information on best practice in relation to energy performance contracts;

d) ensure access to the list of energy services provider companies and to the register of experts related to energy efficiency improvement measures;

e) develop and approve the procedures for payment for energy performance contracts in accordance with state and international accounting standards.

 

Article 13 − Energy performance contracts

1. An energy performance contract, as a tool for energy saving, shall be applied by a company with a high technical and economic capacity in the field of energy saving through making investments. According to an energy performance contract, energy saving is the energy service provided by an energy service provider to an energy service recipient without imposing additional fees on the energy service recipient. Energy service recipients shall receive back investments from the savings that are produced through the reduced energy consumption fee in accordance with the reduction in energy consumption. The separable assets generated as a result of the investment made by an energy service provider in accordance with an energy performance contract shall remain in the possession of the energy service provider until the fulfilment of contractual obligations.

2. An energy performance contract shall determine the following:

a) a clear and transparent list of energy efficiency measures to be implemented or the results of these measures;

b) the guaranteed energy savings to be received through the implementation of the measures provided for by the contract and the financial value of their achievement;

c) provisions on the calculation and confirmation of energy savings, the periods during which they are confirmed for previous periods, the methodology of the energy savings confirmation, the evidence to be submitted by the parties to the contract, and the quality control and guarantees to be submitted by an investor;

d) provisions on the normalisation of energy consumption and the adjustment of the financial value of energy savings;

e) the duration of the contract and the stages of implementation, and the terms and conditions of a warning notice;

f) a clear and transparent list of the obligations of the parties to the contract and the potential risks of their fulfilment;

g) detailed information on the imposition of responsibility on the parties to the contract for a breach of the terms of the contract;

h) the procedure for amending the contract.

3. An energy performance contract may include investments by an energy service provider in inseparable tangible assets, separate tangible assets and intangible assets.

4. Upon the termination of an energy performance contract through the fault of an energy service provider, the energy service provider shall not receive compensation because of the increased price of the building.

5. In accordance with this Law, an energy performance contract may be concluded by the apartment owner partnership of an apartment building and/or jointly by apartment owner partnerships in relation to a joint property, if the amount of the contract does not exceed the financial value of the guaranteed energy savings. The decision on concluding an energy performance contract shall be made in accordance with the procedures established by the legislation of Georgia.

6. An apartment owner who is a member of an apartment owner partnership may dispute the contract in accordance with the terms of this article.

7. Energy savings shall be calculated in accordance with the subordinate normative act provided for by Article 11(4) of this Law, unless a more detailed methodology is determined by an energy performance contract.

8. The general rights and obligations of the parties to the energy performance contract shall be determined by a subordinate normative act of the Ministry.

 

Article 14 − Training programmes

1. The Government of Georgia, on the recommendation of the Ministry, shall approve training programmes in accordance with the NEEAP:

a) for energy service providers;

b) for the implementers of energy audits in the industrial sector;

c) for the implementers of the energy efficiency certification of buildings;

d) for energy managers and the installers of elements that influence the energy consumption of a building.

2. The Ministry shall establish a list of experts trained by training programmes and shall publish it on its website.

 

Article 15 − Public procurement

The Legal Entity under Public Law called the State Procurement Agency shall develop and submit to the Government of Georgia for approval the procedures and guidelines for the implementation of energy efficiency in the field of public procurement, taking into account cost-effectiveness, economic expediency, sustainability principles, technical compliance and proper competition.

 

Chapter IV − Energy Efficiency Policy of Buildings

 

Article 16 − Energy efficiency policy of buildings and measures related thereto

1. On the recommendation of the Ministry, the Government of Georgia shall approve a long-term strategy for promoting investments in the major reconstruction, and energy efficiency improvement measures, of buildings.

2. The long-term strategy provided for by paragraph 1 of this article shall include:

a) a review of existing buildings;

ბ) the cost-effectiveness of the refurbishment of buildings, taking into account their type and the climate zone of their location;

c) policies and measures required for the large-scale cost-effective refurbishment of buildings, including those needing step-by-step (gradual) substantial refurbishment;

d) guidelines for long-term investments for all individuals and legal entities, the construction sector, and financial institutions;

e) information on expected energy savings;

f) expected energy savings, and methods of providing information to the public on energy savings.

3. The long-term strategy provided for by paragraph 1 of this article shall be approved after the approval of the NEEAP and shall be submitted to the Secretariat together with the NEEAP.

 

Article 17 − Energy efficiency policy of buildings occupied by an administrative body

1. The Government of Georgia shall:

a) ensure the annual refurbishment of 1% of the total useful area of ​a building, occupied by an administrative body, which needs to be heated or cooled in order to achieve the minimum energy performance determined by the legislation of Georgia;

b) ensure the introduction of energy management systems in the buildings and other facilities occupied by an administrative body.

2. The obligation to refurbish 1% of the total useful area of a building does not apply to:

a) a building with the status of a cultural property if the change in the energy performance of this building will lead to a change in its special character and appearance;

b) a building occupied and being used by the Georgian Defence Forces or used by an administrative body for national/public safety, except for a residential building or an office building of the armed forces;

c) buildings used as places of worship and for religious activities.

3. The Ministry shall maintain the register of buildings provided for by paragraph 1 of this Article. This register, in addition to other identification data, shall include information on the area of a building and other relevant data related to energy performance or energy consumption.

 

Article 18 − Certification of the energy efficiency of buildings, the accreditation of independent experts, and the inspection of heating and air conditioning systems

Issues related to the certification of the energy efficiency of buildings, the accreditation of independent experts authorised to certify same, and issues related to the inspection of heating and air conditioning systems, shall be regulated by the Law of Georgia on the Energy Efficiency of Buildings.

 

Chapter V − Energy Efficiency Policy in Industry

 

Article 19 − Implementation of energy audits and the introduction of energy management systems in industry

1. An energy audit shall be an independent measure and/or a measure carried out within a certified energy management system and/or a certified environmental management system (the main purpose of which is energy) of an enterprise, the goal of which is to identify the possibility of reducing energy consumption and preparing recommendations on energy efficiency measures.

2. An enterprise of the first category shall carry out a full energy audit in every four years through one of the following approaches, when the appropriate conditions exist:

a) if the enterprise consists of various large elements of final energy consumption − through a series of individual energy audits of these elements;

b) if the enterprise has two or more smaller facilities carrying out the same or similar activities − according to the principle of random selection through energy audits of two or several energy facilities;

c) if there is a combination of the conditions provided for by sub-paragraphs (a) and (b) of this paragraph − jointly through the approaches defined by the same sub-paragraphs.

3. As provided for by paragraph 2 of this Article:

a) an energy audit shall be based on updated, measurable and searchable data on energy consumption, and in the case of electric power, on load as well;

b) an energy audit shall reflect detailed information (profiles) of energy consumption by a building or group of buildings, industrial installations, and transport;

c) the recommendation of an energy audit shall, if possible, include a life-cycle cost analysis (LCCA) instead of the Simple Payback Periods (SPP), so that long-term savings, the residual values of long-term investment, and interest rates can be considered.

4. The fulfilment of the obligations provided for by paragraph 2 of this Article may be confirmed by the submission to the Ministry of a certificate issued by an independent accredited body on the implementation of an energy audit by the enterprise or the introduction of an energy management system or environmental management system.

5. An enterprise of the first category shall be obliged to submit a copy of the report of an implemented energy audit to the Ministry and to retain data on the implemented energy audit for at least 10 years.

6. An enterprise of the first category shall be obliged to submit a report to the Ministry on the introduction of a certified energy management system and/or a formal and certified environmental management system. This report shall also include recommendations on energy efficiency improvement measures.

7. NEEAP shall envisage the introduction of incentive programmes for small and medium enterprises (which are not enterprises of the first category), in order to implement energy audits and measures to be implemented as a result of energy audits.

8. The Ministry shall develop programmes for small and medium enterprises (which are not enterprises of the first category) in order to provide information on the benefit of the introduction of energy management systems and certified experts.

9. An enterprise which enjoys state support shall be obliged to submit a report on the implementation of energy efficiency improvement measures and achieved energy savings, annually, through the Platform of the Ministry, or through other methods agreed in advance, in accordance with the procedure established by the Ministry. The terms and conditions of the submission of reports provided for by paragraphs 5 and 6 of this article shall also be determined in accordance with this procedure.

10. The Ministry shall approve the rules for conducting energy audits by a subordinate normative act.

 

Article 20 − Energy auditors in industry

1. An enterprise of the first category or an enterprise that enjoys state support for the implementation of energy efficiency improvement measures and/or an energy audit shall be obliged to carry out an energy audit through an accredited and/or certified person.

2. The accreditation of energy auditors shall be carried out by the Legal Entity under Public Law called the Unified National Accreditation Body − Accreditation Centre, which has the right to grant accreditation to interested persons for the certification of energy auditors. The Accreditation Centre may also recognise the certificates of energy auditors on the basis of an agreement with the relevant authorities of EU Member States.

3. The accreditation and certification of energy auditors shall be valid for 4 years.

4. The Ministry shall maintain a register that includes:

a) a list of energy auditors with appropriate accreditation/certification; this list shall be published on the website of the Ministry;

b) reports on implemented energy audits; these reports shall include the name of the enterprise, the identity of the energy auditor, and a list of energy efficiency improvement measures;

c) a list of enterprises of the first category obliged to carry out energy audits.

5. The procedures for the certification and accreditation of energy auditors shall be approved by a normative act of the Government of Georgia.

 

Article 21 − Additional measures promoting energy efficiency in industry

1. In order to improve energy efficiency in industry, the Ministry shall be authorised, in agreement with the Government of Georgia, to conclude a contact with an enterprise on a voluntary agreement. When concluding a contract on a voluntary agreement, the promotion of energy service improvement may be considered.

2. The Ministry shall, prior to the conclusion of the contract on voluntary agreement, assess the targets proposed by the enterprise. If necessary, when the Ministry does not consider the proposed targets satisfactory, the Ministry shall have right to establish mandatory targets that shall require the improvement of the energy efficiency of the enterprise.

3. An entreprise which is a party to a voluntary agreement is authorised to receive assistance from the Government of Georgia, including the Ministry, on the basis of a contract concluded in accordance with the legislation of Georgia, to introduce an energy audit and an energy management system, and to implement individual measures in order to improve energy efficiency.

4. The Ministry shall be authorised to develop the grounds and general provisions for the preparation of a voluntary agreement.

 

Chapter VI − Energy efficiency in the Energy Transformation, Transmission and Distribution Sectors

 

Article 22 − Powers of the Commission related to energy efficiency improvement in the energy transformation, transmission and distribution sectors

1. When making decisions related to the fields of electric power transmission and distribution, and natural gas transportation and distribution, the Commission may take into account the legal requirements for energy efficiency improvements and ensure the development of a regulatory framework that shall encourage transmission system operators and distribution system operators in the electric power and natural gas sectors to implement energy efficiency improvement measures when planning and operating appropriate network infrastructure.

2. The Commission shall ensure that transmission system operators and distribution system operators in the electric power and natural gas sectors implement energy efficiency improvement measures, plan appropriate network infrastructure, and assess the potential of the energy efficiency of a system during its operation. Said operators shall submit these assessments to the Commission as a part of the action plan of the development of the relevant network. The assessment of the energy efficiency potential of a system shall include:

a) the implementation of energy efficiency measures and relevant investments in electric power and natural gas transmission and distribution systems;

b) the assessment of the possibility of reducing electric power and natural gas losses in transmission/transportation and distribution networks by transmission system operators and distribution system operators.

3. The Commission shall, in the electric power and natural gas sector:

a) facilitate the consideration of energy efficiency criteria when trading energy in the retail and wholesale market in order to meet energy demand;

b) ensure that electricity transmission and distribution rates reflect a reasonable and appropriate investment/expenditure for energy efficiency improvements, as well as the financial implications of these measures, including financial savings received from electric power networks, or from investments implemented by more optimal operation and/or from demand response measures and from distributed production, in accordance with the tariff methodologies approved by the Commission.

c) ensure that transmission system operators and distribution system operators give preference to highly efficient cogeneration power plants and provide guaranteed access to the electric power network as far as is possible for the safe operation of the electric power system.

4. In accordance with the requirements of the legislation of Georgia, taking into account the licensing conditions of the production of electric power, a hydro power plant shall be obliged to prepare an assessment of technical and economic feasibility every 15 years after the commissioning of the hydro power plant, to show the potential for improving its operational parameters. A hydro power plant shall conduct a study of the feasibility of the potential improvement of the efficiency of the hydro power plant and an assessment of the technical and economic feasibility.

 

Article 23 − Promoting the energy efficiency of heating and cooling systems

1. In the case of developing and activating relevant infrastructure for central heating and cooling systems, the Ministry shall, in cooperation with the operators of central heating and cooling networks:

a) carry out a detailed assessment of the potential for the high-efficient cogeneration of thermal energy and electric power and the use of efficient central heating and cooling;

b) in accordance with the procedures of a cost-effectiveness analysis of heating and cooling systems, carry out a cost-effectiveness analysis as a part of a detailed assessment to determine the most economically efficient and advantageous option for heating and cooling.

2. A cost-effectiveness analysis shall be performed in accordance with the procedures for the cost-effectiveness analysis of heating and cooling systems if:

a) the installation of a new cogenerative, electricity and thermal power producing installation with a total nominal thermal input of more than 20 MW is planned, and an assessment of the cost-effectiveness of said installation as a highly efficient cogenerative installation is needed;

b) the substantial refurbishment of an existing cogenerative installation with a total nominal thermal input of more than 20 MW is carried out, and an assessment of the cost-effectiveness of the conversion of said installation into a highly efficient cogenerative installation is needed;

c) the installation or substantial refurbishment of an industrial device with a net rated thermal input of more than 20 MW is planned, and a cost-effectiveness assessment of cogeneration or its connection to an individual heating system and/or central heating and cooling systems is needed for an assessment of the economically justified demand of the assimilation of residual temperature applicable by this industrial device;

d) the installation of new individual heating and central heating systems, or the installation of a new cogenerative energy producer with a total nominal thermal input of more than 20 MW in existing heating systems, or the substantial refurbishment of an existing installation is planned, and an assessment of the cost-effectiveness of the use of waste heat from nearby industrial installations is needed.

3. In the case of the highly efficient cogeneration of thermal energy and electric power and/or the detection of such potential for the use of high-efficiency central heating and cooling, the benefits of which exceed its cost, the Ministry, in accordance with a detailed assessment and cost-effectiveness analysis, as provided for by paragraph 1 of this article, shall determine measures to be taken in accordance with specific cases, as provided for by paragraph 2 of this article, which shall ensure:

a) the development of efficient central heating and cooling infrastructure and/or the development of high-efficiency cogeneration of thermal energy and electric power;

b) the application of heating and cooling energy obtained from residual heat and renewable energy sources.

4. The guideline provisions for conducting a cost-effectiveness analysis shall be determined by the procedures of a cost-effectiveness analysis for heating and cooling systems, which shall be approved by the Ministry.

 

Article 24 − Energy consumption metering and tax accrual system

1. Electric power and natural gas consumed by final consumers shall be metered and tax accrued in accordance with the procedures established by the legislation of Georgia. In order to install, operate and maintain electricity and natural gas meters, persons authorised by the legislation of Georgia shall be obliged to install individual meters for final consumers, which record the energy consumption in real time.

2. On the basis of a cost-effectiveness analysis considered by the NEEAP on the installation of smart metering systems for electricity and natural gas consumers, the Commission shall develop appropriate legal acts for the purpose of ensuring the following by energy distributors and/or power suppliers:

a) the installation of smart metering systems that provide users with accurate and reliable information on real energy consumption, including real-time energy consumption;

b) full consideration of the objectives and benefits of energy efficiency in determining the minimum requirements regarding the operation of smart metering systems and the obligations of energy distributors and/or energy suppliers and consumers;

c) the protection of the data produced, transmitted and received by smart metering systems, and the personal data of the end users in accordance with the legislation of Georgia;

d) a possibility to meter electric power supplied to the network from the means of energy production owned by a user by smart metering systems at the request of the user;

e) at the request of an end user, access to data on the transmission and receiving of its electric power for him/her/it, or for a third party acting on his/her/its behalf. These data shall be provided in an easily understandable form;

f) when installing smart metering systems, the provision of the recommendations and information to end users on the reading and management of these systems and the monitoring of energy consumption.

3. Persons carrying out a settlement with an end user shall, as determined by the legislation of Georgia, be obliged to provide access to the history of energy consumption by the end user. In particular, the following shall be available:

a) total data; these data shall be consistent with the intervals of entering these data in the users’ database of energy distributors and/or energy suppliers. Total data shall be generated from the users’ database for at least the previous 3 years or from the start of energy supply, if the user data history is shorter than 3 years;

b) detailed real-time data for any day, week, month or year, if smart metering systems have been introduced. These data can be made available to end users via the internet or a meter (indicator unit) for at least the previous 24 months or since the introduction of smart metering systems if this period is less than 24 months.

4. The persons referred to in paragraph 3 of this article shall ensure that the energy receipt submitted to an end user contains the following information (if any):

a) information on the actual consumption of energy, indicating its price and value;

b) information on the energy consumed in the same period of the previous year, indicating its price;

c) information on the average energy consumption indicator consumed by the same group of end users;

d) information on the register as provided for in Article 12(3)(d) of this Law.

 

Article 25 − Informing energy consumers and raising awareness

1. In order to promote and encourage the efficient use of energy by small energy consumers, including households, the Ministry shall take appropriate measures in cooperation with municipalities and/or submit opinions to the Government of Georgia:

a) for the purpose of implementing energy efficiency improvement measures:

a.a) on issuing low-interest loans;

a.b) on the reimbursement of the cost of energy efficiency measures;

a.c) on unpaid technical and financial assistance;

b) for the purpose of increasing energy efficiency, on awareness raising;

c) on the introduction of information and educational measures;

d) on encouraging behavioural changes in energy consumption at workplaces;

e) on the encouragement of final users, including energy-consuming organisations, to install smart metering systems.

2. The Ministry shall ensure the dissemination of information on available energy efficiency mechanisms, financial instruments and legal regulatory norms.

3. The Commission shall be authorised to require that distribution system operators or power suppliers be engaged in promotional measures for the distribution of smart metering systems and behavioural changes that may increase the efficiency of energy consumption. Distribution system operators or power suppliers shall also be required to fulfil the requirements/guidelines of the Commission.

 

Chapter VII − Responsibility for Violating the Requirements of this Law

 

Article 26 − Administrative offence and administrative liability (fines)

1. The failure to fulfil individual targets of saving the final annual energy consumption by a person involved in an energy efficiency commitment scheme in accordance with Article 4(7) of this Law shall result in a fine of 50,000 GEL to 150,000 GEL.

2. The failure to place the information/data determined by this Law on the Platform by an administrative body, an energy distributor, an energy service provider, or a subsidy provider, shall lead to a warning, and if the violation is not rectified within 30 days after the warning, it shall result in a fine of 1000 GEL to 5000 GEL.

3. Obstructing the functioning of the energy services market by an energy provider or an energy distributor shall result in a fine of 20,000 GEL to 100,000 GEL.

4. The failure to implement an energy audit by an enterprise, or the failure to implement the introduction of a certified energy management system or an environmental management system, and/or the non-submission of a copy of an implemented energy audit report to the Ministry, or the failure to notify the introduction of a certified energy management system or an environmental management system, shall result in a warning, and the failure to rectify the violation within 90 days after the warning shall result in a fine of 50,000 GEL to 100,000 GEL.

5. The violation of a procedure for saving an energy audit report shall result in a fine of 50,000 GEL to 100,000 GEL.

6. The failure to assess the energy efficiency potential of a system by a transmission system operator or a distribution system operator shall result in a fine of 50,000 GEL to 150,000 GEL.

7. The failure to implement measures determined by the Ministery for the development of efficient central heating and cooling infrastructure shall result in a fine of 50,000 GEL to 150,000 GEL.

 

Article 27 − Procedure for imposing and paying fines for administrative offences

1. The Ministry shall make a decision on imposing a fine for an administrative offence under this Law and draw up a report on the relevant administrative offence.

2. An administrative offender shall pay the fine provided for by Article 26 of this Law to the State Budget of Georgia within 30 days after the resolution on the fine is handed over to him/her.

3. In the case of the non-payment of an imposed fine within the time limit specified in paragraph 2 of this article, the administrative offender shall be liable for a default charge in the amount of 0.01% of the amount of the fine determined by the decision on the fine. In the case of non-payment of the fine and the default charge within 1 month from the imposition of the default charge, both the fine and the default charge shall be enforced immediately.

4. The payment of the fine provided for by this Law (except for Article 26 1) and (5) of this Law) shall not release a person from the obligation to rectify the violation. If the person does not rectify the violation within 6 months, the imposed fine shall be tripled.

 

Chapter VIII − Transitional and Final Provisions

 

Article 28 − Adoption and issuance of subordinate normative acts

1. After the entry into force of this Law the Ministry shall ensure:

a) within 12 months:

a.a) the approval of the energy efficiency commitment scheme or alternative policy measures or the energy efficiency commitment scheme and alternative policy measures;

a.b) the approval of the procedure for reporting on the implementation of the national energy efficiency target for the Secretariat;

a.c) the determination of the format of the measurement and verification Platform and the approval of the procedure for placing information/data thereon;

a.d) the approval of the procedure for keeping a register of buildings used by an administrative body;

a.e) the approval of the procedure for conducting energy audits;

a.v) the approval of the procedure for reporting on the implementation of energy efficiency improvement measures and on achieved energy savings;

a.g) the approval of a sample energy performance contract of a building occupied by an administrative body;

a.h) the approval of payment procedures for energy performance contracts;

a.i) the determination of the general rights and obligations of parties to an energy performance contract;

b) within 16 months:

b.a) the approval of the form of the administrative offence report on the imposition of administrative liability under this Law;

b.b) the approval of the procedure for the cost-effectiveness analysis of heating and cooling systems.

2. After the entry into force of this Law the Government of Georgia shall ensure:

a) within 12 months, upon the submission of the Ministry:

a.a) the approval of training programmes;

a.b) the approval of the National Energy Efficiency Action Plan (NEEAP);

a.c) the approval of the procedures for the certification and accreditation of energy auditors;

b) within 24 months, upon the submission of the Ministry, the approval of budgeting procedures for the implementation of an energy performance contract;

c) within 24 months, upon the submission of the legal entity under public law called the State Procurement Agency:

c.a) the approval of the procedures and guideline principles for the implementation of energy efficiency in the field of public procurement;

c.b) the approval of national monetary limits for the purpose of carrying out energy efficient public procurement.

3. Within 12 months of the approval of the NEEAP:

a) the Government of Georgia shall ensure the approval of a long-term strategy to promote investments for the major reconstruction of, and energy efficiency improvement measures for, buildings;

b) the Ministry shall ensure the approval of the procedure for submitting notification to the Secretariat on alternative policy measures provided for by the NEEAP.

4. Within 12 months after the entry into force of this Law, the Ministry, the Commission and the relevant agencies shall ensure the compliance of relevant subordinate normative acts with this Law.

 

Article 29 − Time limits for the implementation of specific measures

1. The alternative policy measures provided for by Article 5(1) of this Law shall establish at least 2 interim periods until 31 December 2030 and shall ensure that the national energy saving target set out in the same paragraph is achieved.

2. The requirements of Article 17(1) of this Law shall apply until 1 January 2023 to buildings occupied by an administrative body, the total useful floor area of which exceed 500 m2. From 1 January 2023, these requirements shall apply to buildings occupied by an administrative body, the total useful floor area of which exceed 250 m2.

 

Article 30 − Entry into force of the Law

1. This Law, except for Article 4(5) to (7), Article 11(1) to (3), Article 12(3)(a), Article 13(1) to (7), Article 17(1) and (2), Article 19(1) to (9), Article 20(1), Article 22(4), Article 23(1) to (3), Article 24(3) and (4) and Articles 26 and 27, shall enter into force upon promulgation.

2. Article 4(5) to (7), Article 11(1) to (3), Article 17(1) and (2), Article 23(1) to (3) and Article 24(3) and (4) of this Law shall enter into force from 1 June 2021.

3. Article 13(1) to (7), Article 19(1) to (9), Article 20(1) and Article 22(4) of this Law shall enter into force from 1 January 2022.

4. Article 12(3)(a) and Articles 26 and 27 of this Law shall enter into force from 1 June 2022.

 

President of Georgia                                 Salome Zourabichvili

 

Tbilisi

21 May 2020

No 5898-სს

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