EBRD facilitates large carbon credit transaction in Georgia
Georgia’s Enguri hydropower plant (HPP) has concluded the first sale of carbon credits. In a landmark transaction the state-owned operator Engurhesi Ltd issued and sold over 400,000 carbon credits to the Norwegian electricity company Statkraft.
The operation was supported by the European Bank for Reconstruction and Development (EBRD) through its Carbon Project and Asset Development Facility (CPADF), which provided technical assistance to help Engurhesi with its sales strategy as well as the verification of emission reductions realised between January 2013 and August 2014.
The sale caps years of investment, which led to the project’s registration under the Kyoto Protocol’s Clean Development Mechanism (CDM) towards the end of 2012. The financial closure in difficult market circumstances has a strong demonstration effect. It is a major milestone for Engurhesi, which is now well-positioned to generate additional financial revenues from the sale of its emission reductions going forward.