Abkhaz Leader ‘Bewildered’ over Russia-Georgia Enguri HPP Deal

Abkhaz leader Sergey Bagapsh said he was “bewildered” over a memorandum signed between Georgia and Russia’s electricity trader Inter RAO over Enguri hydro power plant, Apsnipress, the Abkhaz official news agency, reported.

In late December, Georgia and the Russia’s state-controlled company signed a memorandum of understanding on joint management of the largest hydro power plant in the region. A legally binding contract on the matter has yet to be signed between the two sides.

“Georgia can continue making statements that it is the owner of all the facilities on the Abkhaz territory, but in fact that’s not the case,” Sergey Bagapsh said on January 19 while speaking at a meeting with energy sector officials of the breakaway region. “Enguri HPP [hydro power plant] is located on our territory and belongs to us and not a single agreement or deal signed behind our back and without taking into consideration our interests, will have any force.”

“We are ready to hold negotiations with Inter RAO on cooperation, but we will not sign any agreement that is not in line of our interests,” Bagapsh added.

Head of the Abkhaz state-run energy company Chernomorenergo, Rezo Zantaria, said that Inter RAO had not even notified the Abkhaz side about the memorandum with Georgia.

The Enguri HPP’s five generators are located on the Abkhaz side of the administrative border, and its arch dam is located on the Georgian-controlled territory.

Head of the Chernomorenergo also said that in the past the Abkhaz side was offering Inter RAO 49% shares into Enguri HPP, but the Russian company, he said, was insisting on obtaining controlling stakes – at least 51%. “The Abkhaz side should hold the controlling stakes of Enguri HPP,” Rezo Zantaria said.

Apsnipress also reported that chairman of Inter RAO, Yevgeny Dod, was expected to visit Sokhumi and hold negotiations with the Abkhaz leaders on January 20.

Meanwhile in Tbilisi leader of opposition New Rights Party, Davit Gamkrelidze, called on the authorities to make public the memorandum signed with the Russian company. Alexandre Khetaguri, the Georgian energy minister, said this month that the memorandum was not yet for public scrutiny and only the contract, if signed with Inter RAO, would be publicly available.

“We warn the Russian authorities that any deal and contract signed behind the Georgian people’s back will not be legal and hence would be canceled,” Davit Gamkrelidze said at a news conference on January 20.

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