Georgia has begun gradually paying the Russian energy company Inter RAO the compensation awarded by an international arbitration ruling. This was stated by the country’s Minister of Finance, Giorgi Kakauridze.
He explained that the payments are being made according to an agreed schedule and will be divided into 7 stages, but did not disclose the exact amount, noting that it is a “commercial secret.”
However, Kakauridze added that the final payment amount turned out to be less than what Inter RAO had initially demanded.
This refers to the ruling that Georgia was obligated to pay the Russian company, which owned 75% of the Tbilisi electricity supply company JSC Telasi, $111 million, plus $28 million in interest.
The dispute between the parties began in 2017 after Inter RAO, which held a stake in the Telasi energy company, filed for international arbitration. The company claimed that changes in tariff policy in 2014 and the devaluation of the lari had damaged its investments, and demanded around $200 million in compensation.
The Georgian government maintains that the case was resolved partially in the state’s favor and does not represent a complete loss for the country.