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Name: Udabno Solar Power Plant;
Location: Kakheti region, Sagarejo Municipality, village Udabno;
Capacity: 5 MW;
Output: 7.1 million KW / h;
Estimated cost of the project: $ 3,450,000;
Authorized capital of the enterprise : 3,450,000 (three million four hundred and fifty thousand) USD
Amount spent for implementation of the Project: 180 000 USD;
Status: The date of signing the Agreement on connection to the transmission network between JSC ”State Electric System of Georgia” and JSC “Georgian Energy Development Fund” is 28 February 2017. The cost of the second stage of connection under the agreement signed with JSC “"State Electric System of Georgia” is 218,000 GEL, VAT included.
The date of signing the Memorandum between the Government of Georgia and JSC “Georgian Energy Development Fund” is 30 June 2016. The purpose of the Memorandum is to study the feasibility of construction of the solar power plant and the issues related to its construction/ownership/operation. The validity period of the Memorandum of Understanding is 12 months from the date signing thereof
On 29 March 2017, changes were made in the Agreement on connection to the transmission network dated 28 February 2017.. Certain researches were conducted also within the scopes of the Project, after which the feasibility study of the Project was transferred to the Ministry of Economy and Sustainable Development of Georgia.
Since the implementation of the Project was planned together with the investor, the Fund announced the expression of interest (On 22 May 2018), within the framework of which the bids could be submitted until 25 June 2018, 18:00. Only one company – “Solar Power Georgia, LLC.” participated in the expression of interest. The documentation submitted by the latter complied fully with the requirements established by the terms and conditions of the tender. Accordingly, by the decision of the tender commission, “Solar Power e Georgia, LLC” was recognized as the winner. On 11 June 2018, a partnership agreement was signed between the parties, according to which the winner was granted 90% share of “Georgian Solar Company LLC” for free, but conditionally. Within the framework of the agreement, the investor was obliged to fill the capital in accordance with the needs of the joint enterprise by a proportional contribution of its share. To ensure the fulfillment of its obligations, “Solar Power Georgia, LLC” has provided unconditional and irrevocable bank guarantee in the amount of 100 000 USD. The company was also obliged to sign through 10 May 2020 a construction memorandum with the Government of Georgia and obtain a construction permit in accordance with the procedure established by the legislation of Georgia.
Due to the fact that “Solar Power Georgia” failed to fulfill in a timely manner its obligations envisage under Article 4.1 of the Partnership Agreement dated 11 July 2018 and of the Agreement on changes in the above Agreement, dated 10 January 2020, neither obtaining the bank guarantee for securing the above obligations, on 08 July 2020 the Agreement was signed on termination of the partnership agreement executed on 11 July 2018 and of the share alienation (concession) agreement dated 31 July 2018. As a result, 90% share in the joint enterprise “Solar Power Georgia, LLC.” was returned to JSC “Georgian Energy Development Fund” free of charge.
On 19 October 2020, 2 independent state procurement agreements were signed between “Georgian Solar Company, LLC.” and “SgurrEnergy India Private Limited”, on the basis of which the supplier was obliged to renew the feasibility study of the Udabno Solar Power Plant. At this stage, the above studies are completed.
On 01 July 2021, an expression of interest was announced for the development and construction of the Udabno Solar Power Plant Project. Initially, the deadline for submitting the bids was July 15 of the same year, which was then extended by the decision of the Fund through 16 August 2021
“Next Energy LLC” (ID Code 405476587) won in the above-mentioned expression of interest as a result of introducing the highest purchase (72%) and sale (60%) option rates. On 13 September 2021, the Partnership agreement was signed between the latter and JSC “Georgian Energy Development Fund”
To secure the fulfillment of the obligations assumed under the Partnership Agreement, on 21 September 2021 “Next Energy LLC” provided unconditional and irrevocable bank guarantee in the amount of 100 000 (one hundred thousand) USD.
On 27 September, 2021, the Agreement “On Transfer to “Next Energy LLC” of 90% share belonging to the JSC “Georgian Energuy Defelopment Fund” in “Georgian Solar Company LLC” was executed and registered with the LEPL National Agency of Public Registry according to the established procedure
On 01 October 2021, the Agreement on Pledge of 90% share belonging to “Next Energy LLC” in “Georgian Solar Company LLC”, in favor of JSC “Georgian Energuy Defelopment Fund” was executed and registered with the LEPL National Agency of Public Registry according to the established procedure
On 05 November 2021, “Georgian Solar Company LLC” addressed the Letter #1 to the Ministry of Economy and Sustainable Development of Georgia for granting the support scheme to the Udabno Solar Power Plant Project as per the Resolution #403 and signing the relevant agreement.
By Resolution #228 of the Government of Georgia, dated 15 February 2022, the concept of the “Udabno Solar Power Plant” Project identified by the Ministry of Economy and Sustainable Development of Georgia as a potential public-private partnership project, was approved. By same Resolution decree, the Ministry of Economy and Sustainable Development of Georgia was ordered to sign the relevant agreement with “Solar Company Georgia LLC.” for ensuring the preparatory works of the Project.
On 11 March 2022, “Next Energy LLC” and JSC “Georgian Energy Development Fund” exe3cuted the Agreement On Making Changes in the Partnership Agreement dated 13 September 2021, according to which the term of works envisaged by the Project “Phase 1” was defined through 12 September 2022. Besides, on the basis of this Agreement , “Next Energy LLC” presented an extended bank guarantee.
On 9 March 2022, in order to develop the detailed design of the “Udabno Power Plant Project” , an agreement was signed between “Georgian Solar Company LLC” and „The Ohm Energy LLC”. Within the framework of the above mentioned agreement, the supplier provided services to “Georgian Solar Company LLC”, for which on May 12 of the same year, the relevant acceptance certificate was signed.
On 17 May 2022 the Government of Georgia and “Georgian Solar Company” signed the agreement On Feasibility Study for Development of the Udabno Power Plant Project