{"id":42672,"date":"2021-07-07T16:53:04","date_gmt":"2021-07-07T14:53:04","guid":{"rendered":"https:\/\/libmod.de\/input-paper-anti-corruption-environment-georgia-tranparency-international-georgia-kevkhishvili-copy\/"},"modified":"2021-07-09T14:49:12","modified_gmt":"2021-07-09T12:49:12","slug":"input-paper-georgia-european-green-deal-kevkhishvili","status":"publish","type":"post","link":"https:\/\/libmod.de\/en\/input-paper-georgia-european-green-deal-kevkhishvili\/","title":{"rendered":"Input Paper \u201cGeorgia and European Green Deal\u201d"},"content":{"rendered":"

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Foto: Shutter\u00adstock, artteam<\/figcaption><\/figure>\n

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As part of our project \u201cEastern Part\u00adner\u00adship Plus\u201d, we are pub\u00adlish\u00ading a second series of input papers on the topic of Perspec\u00adtives and Prior\u00adities European Green Deal (EGD) in Ukraine, Georgia and Moldova. The authors from the region (Nataliya Andru\u00adsevych, Manana Kochladze, Iuliana Cantaragiu) analyse the role of the Euro\u00adpean Union in sup\u00adport\u00ading the imple\u00admen\u00adtation of the EGD and for\u00admu\u00adlate their polit\u00adi\u00adcal rec\u00adom\u00admen\u00adda\u00adtions for deci\u00adsion-makers in Berlin and Brussels.<\/h2>\n

By Manana Kochladze, Democ\u00adra\u00adti\u00adzation and Human Rights, CEE Bankwatch Network<\/strong><\/p>\n

The European Green Deal (EGD) will funda\u00admen\u00adtally change economic and political relations with the EU\u2019s neigh\u00adbourhood. The Government of Georgia has not made yet any commit\u00adments with regard to the EGD.[1]<\/a>[2]<\/a> The government\u2019s approach to the country\u2019s economic devel\u00adopment primarily involved extensive liber\u00adal\u00adization and dereg\u00adu\u00adlation for decades. This changed only with the signature of the EU-Georgia Associ\u00adation Agreement (AA) in 2014. Since then, Georgia has taken a few positive steps in the environ\u00admental, energy and climate sector, but environ\u00admental protection and climate resilience are still considered to be of secondary priority; economic growth takes top priority.<\/p>\n

The current path of economic devel\u00adopment and its impact on health and the environment are challenging. The Global Alliance on Health and Pollution has reported that at least 140 out of every 100,000 deaths in Georgia are linked to air pollution, one of the highest rates in Europe.[3]<\/a> World Bank estimates that the costs of environ\u00admental degra\u00addation (air pollution, lead exposure, forests, agriculture land degra\u00addation, climate change impacts) were equiv\u00adalent to 15% of Georgia\u2019s GDP in 2018.<\/p>\n

Article 29 of Georgia\u2019s Consti\u00adtution requires the government to ensure the protection of the environ\u00admental protection and rational use of natural resources in the interests of current and future gener\u00ada\u00adtions. The Law on Environ\u00admental Protection provides for an environ\u00admental planning system to ensure \u201ccondi\u00adtions appro\u00adpriate for the sustainable devel\u00adopment of the country\u201d. The law requires the devel\u00adopment of a sustainable devel\u00adopment strategy for the country. This requirement has yet to be met, as have those for a five-year national environ\u00admental action plan and plans and policy documents for individual areas. The social-economic devel\u00adopment strategy \u201cGeorgia 2020\u201d (2014)[4]<\/a> acknowl\u00adedges ineffi\u00adcient use of natural resources and extensive agricul\u00adtural production, combined with low techno\u00adlogical devel\u00adopment and innovation level. In 2015, government adopted the a national strategy to meet SDGs by 2030.[5]<\/a><\/p>\n

The Associ\u00adation Agreement between EU and Georgia and the Associ\u00adation Agendas have fuelled numerous positive changes. The first step was enactment of a new Environ\u00admental Assessment Code in line with the nEIA and SEA direc\u00adtives (2018), addressing multiple failures in environ\u00admental decision-making on projects and policies during (2007\u20132017), and reintro\u00adducing public partic\u00adi\u00adpation in decision making. Several other laws and policy documents have also been adopted, including the Waste Code and Waste Management Strategy 0216\u20132030, the Forest Code (2020), environ\u00admental liability legis\u00adlation (2021), etc. The Third National Environ\u00admental Action Program of Georgia (NEAP\u20113) 2017\u20132021,[6]<\/a> the key policy document in this area, was influ\u00adenced by the EU-Georgia Associ\u00adation Agreement and United Nations Sustainable Devel\u00adopment Goals. However, its imple\u00admen\u00adtation is behind schedule both with respect to environ\u00admental gover\u00adnance and in key strategic sectors. This is due to ineffective gover\u00adnance and insti\u00adtu\u00adtional model, inade\u00adquate funding, only 0.4% of the state budget was allocated to environ\u00admental protection (around 60 million GEL). This was coupled with constant lobbying on behalf of the business sector to delay or abandon the new environ\u00admental regula\u00adtions. For instance, Georgia is behind schedule in in desig\u00adnated protected Emerald-network sites[7]<\/a> under the Council of Europe\u2019s Convention on the Conser\u00advation of European Wildlife and Natural Habitats (Bern Convention). The country needs to develop a national fresh\u00adwater strategy due to abundant hydropower devel\u00adopment plans.[8]<\/a><\/p>\n

Georgia has been a full member of the European Energy Community since 2016. The adoption of the Law on Energy and Water Supply in line with the Third Energy Package (2019) was a break\u00adthrough for further energy reforms. Renewable energy legis\u00adlation was adopted in 2019 is in line with the EU\u2019s 2009 renew\u00adables directive. Legis\u00adlation on energy efficiency adopted in 2020 twill enter into force after 2022. The trans\u00adpo\u00adsition of the Large Combustion Plants Directive into Georgian law and the prepa\u00adration of the Energy and Climate Action Plan (NECP) have been delayed. As the Clean Energy Package will be integrated into the Energy Community Treaty by the end of 2021, the ECT Secre\u00adtariat has started to assist with the trans\u00adpo\u00adsition and imple\u00admen\u00adtation of energy reforms, including the Clean Energy Package.[9]<\/a><\/p>\n

Georgia has no energy sector devel\u00adopment strategy or action plan for 2030 aimed at decou\u00adpling energy use and economic growth. Unsus\u00adtainable electricity consumption and the country\u2019s depen\u00addence on imported fossil fuels (70\u201375% of primary energy consumption) are not stressed in any strategy document. Sparsely available policy documents[10]<\/a> promote increased energy consumption and the building of new gener\u00adation plants, including the large hydropower plants that the vast majority of the public oppose. Meanwhile, cryptocur\u00adrency mining, which can be done at next to no cost thanks to low rates charged for electricity, is negatively affecting both on the energy balance and on citizens\u2019 lives in Abkhazia and Svanetia[11]<\/sup><\/a>. It is estimated that cryptocur\u00adrency accounts for at least 15% of Georgia\u2019s total power load.[12]<\/a> According to USAID, \u201cCurrent and strategic decisions of the energy sector are not made on the basis of relevant and suffi\u00adcient infor\u00admation analysis and research. There is no proper system and proce\u00addures in place for providing expert research and profes\u00adsional support for decision-making\u201d.[13]<\/u><\/a><\/p>\n

In April 2021, the Government of Georgia approved an updated nationally deter\u00admined contri\u00adbution (NDC)[14]<\/a> under the UNFCCC and an imple\u00admen\u00adtation tool for it. The NDC includes uncon\u00addi\u00adtional (35%) and condi\u00adtional (50\u201357%) mitigation targets for the reduction of GHG emissions by 2030 compared to 1990 levels. It defines targets for a number of sectors (transport, construction, energy gener\u00adation and trans\u00admission, agriculture, industry, waste management and forestry). The National Adaptation action plan will be elabo\u00adrated with the support of the Green Climate Fund.<\/p>\n

The transport sector repre\u00adsents the biggest emitter and was respon\u00adsible at least for 24% of GHG emissions (2015). The updated NDC predicts that emissions would rise up to 71% under the baseline scenario by 2030, with planned reduction of 15%. The country does not have \u201ca single entity with respon\u00adsi\u00adbility for overar\u00adching national transport sector strategy and policy.\u201d[15]<\/a> This has resulted in the allocation of a dispro\u00adpor\u00adtionate amount to road infra\u00adstructure, with severe impacts on local commu\u00adnities, reducing their incomes and forcing invol\u00aduntary reset\u00adtlement, and on the environment, including protected areas.<\/p>\n

Despite promises to the contrary, no green economy policy, green economy strategy 2030 or green economy action plan for 2017\u20132022[16]<\/a> were ever adopted. A technical report prepared for use in the devel\u00adopment of a green economy strategy that analysed three sectors of economy \u2013 construction, agriculture and tourism \u2013 pointed out the potential for such a strategy to generate signif\u00adicant savings and additional economic and environ\u00admental benefits, including job creation.[17]<\/a> Activity in this area is mainly supported by inter\u00adna\u00adtional donors, including the EU.[18]<\/a><\/p>\n

The EGD has the potential to completely eliminate the country\u2019s reluc\u00adtance to update existing economic models and to define new perspec\u00adtives for Georgia\u2019s devel\u00adopment. This would require the relevant guidance and skills support coupled with extensive awareness raising, trans\u00adparency and public involvement in decision making to build the ownership and ensure a results-oriented approach. Georgia is experi\u00adencing stagnation in the devel\u00adopment of democracy and its economy [19]<\/a> due to a political crisis[20]<\/a> combined with Covid-19 pandemic. In this situation, EGD could provide a much-needed stimulus for further development.<\/p>\n

The party currently in power is in the process of preparing a national plan for Georgia devel\u00adopment to 2030. If developed with wider public partic\u00adi\u00adpation and based on the \u201cgrow back better and greener\u201d principle in line with EU legis\u00adlation and the EGD, the plan may be able to serve as recovery tool to address immediate shocks and ensure the sustainable devel\u00adopment of the country. The EGD together with Associ\u00adation Agreement provides new oppor\u00adtu\u00adnities for Georgia to make progress towards sustain\u00adability goals and to access potential financial sources, as well as further Georgia\u2019s ambitions for closer integration with EU.<\/p>\n

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Recom\u00admen\u00adda\u00adtions:<\/strong><\/p>\n