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According to the press service of the President of Abkhazia, "the situation with the provision of electricity is close to critical. According to Acting First Deputy Prime Minister - Minister of Energy and Transport Jansuh Nanba, the paid volumes of electricity supplies from Russia will partially cover the deficit by the end of Thursday, November 28.
Badra Gunba also instructed Acting Prime Minister Valery Bganba to focus the efforts of executive authorities on collecting debts for consumed electricity, to mobilize the necessary financial resources at the disposal of republican unitary enterprises, other state organizations and extra-budgetary funds.
EADaily reported that since September 1, Russia has partially suspended funding for the socio-economic assistance program to the republic due to Sukhum''s failure to fulfill its obligations to Moscow. The reduction affected the salaries of teachers and doctors. In addition, Abkhazia has to pay for the flow of electricity from Russia at commercial rates.
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SUKHUM. Nov 17 (Interfax) - Abkhazia is intensifying measures to counter cryptocurrency mining, and law enforcement officers have been tasked with seizing and scrapping mining equipment, Sukhum administration head Beslan Eshba said.
"Russia has been supplying electricity to Abkhazia on a commercial basis since the beginning of November due to a deficit of electricity," Eshba said at a meeting of the operational headquarters for responding to illegal cryptocurrency mining.
"Hence, control over electricity consumption has been tightened," Eshba said.
He ordered joint surprise checks on industrial enterprises and private houses to find the location of cryptocurrency mining equipment.
The operational headquarters is conducting the checks with the participation of specialists from the State Committee for Standards, the Sukhum Department for Power Grids, the police, and district administrations, Eshba said.
Abkhaz Deputy Prime Minister, Economy Minister Kristina Ozgan said earlier that Russia had been supplying electricity to Abkhazia on a commercial basis since November 5 to compensate for the deficit. She also said that Russia supplied electricity worth around six billion rubles to Abkhazia for free between 2020 and the first quarter of 2023.
"Abkhazia cannot solve the electricity problem with Russian social assistance, it will have to pay for electricity," Ozgan said.
"The first contract has been concluded with Inter RAO for the delivery of 30 million kW/h of electricity for 135 million rubles," she said.
"The second contract for the delivery of 50 million Kw/h of electricity worth 200 million rubles has been drafted. We have yet to compensate for the electricity deficit in December, so we are working on solutions and will make corresponding decisions," Ozgan said.
Some of the electricity deficit expected in the first quarter of 2024 is covered by an action plan, coordinated with Russia. It will be compensated for with social supplies, while additional deliveries will be a matter of negotiations, she said.
According to preliminary information from the Abkhaz Economy Ministry, around 900 million rubles will be needed to cover Abkhazia''s electricity deficit.
The Chernomorenergo Abkhaz energy company estimates annual consumption of electricity at roughly three billion kW/h, including two billion kW/h from the Inguri HPP on the Abkhaz-Georgian border.
Given the absence of a centralized heating and gas supply, Abkhazia''s power grids come under strain in fall and winter, which causes frequent accidents at substations and power transmission lines.
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The upcoming three-month closure of Georgia''s Enguri hydropower plant for repairs will leave the breakaway territory of Abkhazia without a regular energy supply.
The plant accounts for all of Abkhazia''s supply and more than 35 per cent of the electricity used in territory controlled by Tbilisi.
The arch dam, reservoir and a part of the diversion tunnel are located on the Georgian side, while the hydro power plant building with four near-dam installations and the rest of the tunnel are in Abkhazia, in the village of Saberio.
The electricity generated by the HPP is shared by both sides. Officially, Georgia lost control over Enguri on September 30, 1993 after a war over Abkhazia''s declaration of independence.
An informal agreement was reached in 1997 according to which Abkhazia would receive 40 per cent of the electricity generated by the Enguri plant. However, consumption has exceeded this in recent years, especially during the winter months.
"Both sides need this plant but where Georgia has many other sources of electricity Abkhazia has no other sources to turn to," said Levan Mebonia, 68, the chairman of the board of directors at Enguri who has worked there since it began operating in 1978. "This is our joint project, the facility we share and we both have to work as usual. We cooperate mostly with ethnic Abkhazian energy employees who work at the distribution network."
Mebonia emphasised that Enguri guaranteed Georgia''s energy independence. However, he warned that growing electricity consumption in Abkhazia, attributed to the booming industry of crypto currency mining, could pose serious problems for the energy security of the rest of Georgia.
In addition, it was galling to many that the plant''s electricity was also consumed by Russian military bases located in Gali district. Six of these are located along the bank of the Enguri River, another one in the city of Gali and one more military base in the village of Okumi.
Abkazia had few options when it came to energy supplies, Mebonia continued.
"There is no gas there and therefore the consumption grows in winter," he said. "But mostly it is increased because of the crypto currency farms, which are plenty. But, as they say, some restrictions are going to be enacted on this activity. When the water in the Enguri reservoir is drained, they will be cut off from the electricity and they understand this. Currently, Abkhazia receives electricity for free and the company loses revenue as a result. If we had sold this electricity, we would have received an additional 30 million GEL (nine million US dollars) a year. Now we are negotiating with them on a price, but so far we have not reached any results.
"We had a meeting a couple of days ago and they said that they were taking some measures to reduce consumption and we''ll see right now they use two billion kilowatt hours a year," said Melbonia, adding that this was ten to 15 per cent more than they should.
The diversion tunnel will be closed from the end of January until May for repairs estimated to cost 7.5 million dollars.
"In the meantime, for 95 days of repairs Abkhazia will be completely supplied from Russian alternative energy resources; two power transmission lines entering from Russia - one of 220 KW and another of 500 KW- will provide the electricity supplies," Mebonia said. "I am not sure about the amount and regularity; there might be some short-term blackouts."
"They do not pay for power generation, they pay only for distribution," Khubua said. "The fact is that the electricity tariff is abnormally low there. The political will is needed to increase the tariff. Until there is no electricity metering system in Abkhazia, the consumption of electricity will always be out of control. The share of the Russian military bases is very low; the consumption has grown because of the crypto currency mining. It is said that the use by mining farms reaches 70-90 megawatts, and this is the main reason for the recent rise in consumption."
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