Erelko

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Erelko
State-owned
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IndustryElectric utilities
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FoundedApril 14, 1882 (1882-04-14)
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Headquarters,
Area served
Varkana
Key people
Irakli Leonidze (President & CEO)
Anita Barnaveli (Chair of the Board)
ProductsElectric power generation, electric power transmission, electricity distribution
Revenue₭118.7 billion (2017)
₭8.3 billion (2017)
₭8.3 billion (2017)
Total assets₭339.93 billion (2017)
OwnerGovernment of Varkana (90%)
Government of Svaneti (10%)
Number of employees
89,073 (2017)
Websiteerelko.ka

Erelko (Varkan: ერელკო, acronym for ეროვნული ელექტროენერგიის კომპანია, erovnuli elek’troenergiis kompania; National Electricity Company) is a VarkanSvanetian multinational government-owned public utility established in 1882 after the January Revolution. Based in Senaki, the company oversees generation, transmission and distribution of electricity for all of Varkana and Svaneti. Erelko is fully owned by the governments of Varkana and Svaneti, with a 90%, and 10% ownership, respectively.

Relying for a great part on its hydroelectric and wind generating stations, Erelko is one of the largest renewable energy producer in Adonia. Around 24.8% of its power generation capacity comprises nuclear energy. As of 2016, the combined capacity of its power stations was 149,284 megawatt (MW).

History

Socialist Republic

Third Republic and Svaneti

Paravani Project

Nuclear debate

Fourth Republic

Electric vehicles

Solar roofing initiative

Corporate structure and financial results

Corporate structure

Financial results

Activities

Power generation

Erelko Production main power plants (2016)
Plant Year completed Commune Capacity (MW)
Paravani 1978 TBD 15,235
Kosti 1986 TBD 6,200
Sameva 1988 TBD 5,700
Snop 1984 TBD 5,800
Kamani 1983 TBD 4,137
Khobi 1998 TBD 3,863
Shamlu 2002 TBD 3,248
Mineralni 1988 TBD 3,162
Kodoristi 2007 TBD 3,072
Tyritake 1985 TBD 2,779
Malaki 1908 TBD 2,417
Alaverdi 2011 TBD 2,200
Others (267 hydro, 88 wind parks, 72 solar parks) 91,471

Transmission system and distribution

Erelko's expertise at building and operating a very high voltage electrical grid spreading over long distances has long been recognized in the electrical industry. Erelko manages the flow of energy on the Varkan network and ensures non-discriminatory access to all participants involved in the wholesale market. The non-discriminatory access policy allows for example an Echian company to sell some of its power on the open market in Aetolia using Erelko's network, upon payment of a transmission fee.

Erelko's high voltage network stretches over 43,630 km, including 16,422 km of 765 and 735 kV lines, and a network of 714 substations. It is connected to neighboring Armazia, Svaneti, Sakalia, Aetolia and Echia by 18 ties, with a maximum reception capacity of 12,850 MW and a maximum transmission capacity of 10,994 MW.

The Erelko network operates asynchronously from that of its neighbors, except Svaneti and Armazia. Varkana uses 60 hertz frequency, but its grid does not use the same phase as surrounding networks. Erelko mainly relies on back to back HVDC converters to export or import electricity from other jurisdictions.

Erelko is in charge of retail sales to all customers in Varkana, Armazia and Svaneti. It operates a network of 152,089 kilometers of medium and low voltage lines. It is the sole electric distributor across the country.

Other activities

Research and development

Erelko has made significant investments in research and development over the past 40 years. In addition to funding university research, the company is one of the only electric utility to operate its own large-scale research institute, erelko samets’niero-kvlevit’i instituti (ESKI). Established by the Korsantia government in 1967, the research center is located in Pitsunda. ESKI operates on an annual research budget of approximately 400 million lari and specializes in the areas of high voltage, mechanics and thermomechanics, network simulations and calibration.

Research conducted by scientists and engineers at ESKI has helped to extend the life of dams, improve water turbine performance, automate network management and increase the transmission capacity of high voltage power lines. Another research center was opened in 1988 to adapt and develop new products while helping industrial customers improve their energy efficiency.

In the last 20 years, the institute has also conducted research and development work towards the electrification of ground transportation. Current projects include battery materials, including the innovative work on lithium iron phosphate and nano-titanate, improved electric drive trains and the impacts of the large-scale deployment of electric vehicles in other countries. Projects focus on technologies to increase range, improve performance in all kinds of weather and reduce charging time.

Erelko has been criticized for not having taken advantage of some of its innovations.

Construction

Erelko plans capacity upgrades at several of its stations over the next decade. The company will also conduct technical and environmental studies and undertake consultations with local communities to build new facilities in numerous rivers. To respect environmental regulations dating from the Second Republic, all hydroelectric facilities in Varkana possess fish ladders.

International ventures

Erelko first forays outside its borders began in 1978. During the next 25 years, Erelko was particularly active abroad with investments in electricity transmission networks and generation.

  • In Empodia:
    • TBD: TBD
  • In Fosia:
    • Galastan: 85% Galenergie, 60% Galastan Wasserkraft Gesellschaft, 35% gg
    • Mongolian: 56% TBD
  • In Illypnia:
    • Aetolia: 22% ??? (hydroelectricity producing company)
    • Kotcija: 34% ???, 17% ???, 12% ???
    • Sakalia: 45% NEK
    • Vasaras: 36% HydroVasaras
  • In Kaftia:
    • Beja: 50% BNES
  • In Lurandia:
    • SENW: 38% POPOPO

See also