Turkish company ENKA has stated that they will not build a Namakhvani HPP in western Georgia due to the ‘violation of contract conditions’ by the Georgian side. 

The forthcoming construction of the HPP in Rioni gorge has caused large scale protests earlier this year, with demonstrators accusing the Georgian government of signing a ‘cabal agreement’ with the company. 

The Georgian Dream government was forced to temporarily suspend the construction process and vowed that the contract conditions, including the unconditional transfer of land, water and other natural resources on a 99-year lease to ENKA, would be reviewed. 

The Namakhvani HPP Cascade Project covered the construction of two hydroelectric power plants on the Rioni river in Georgia’s Tskaltubo and Tsageri municipalities: the Lower Namakhvani HPP - 333 MW and the Upper Namakhvani HPP - 100 MW. 

Local residents claimed that the construction of the HPP was launched ‘without proper studies’ and it would cause ‘devastating results’ on the environment.