Representatives of the insurance companies and the banking sector discussed the draught resolution on the procedure for financial security risks to the environment

The new Law of Georgia on Environmental Liability has defined the obligation of persons performing particularly dangerous activities for the environment, as soon as they begin and in the process of implementation, to ensure the financial risk of harming the environment.

The law defined two types of financial security for the environment: insurance and bank guarantees.

By the same law, the Government of Georgia was ordered to adopt a resolution on "the procedure for the financial risk of harming the environment in a particularly dangerous environment". An informational meeting was held for the business association, business ombudsman, insurance companies, and banking sector, in order to get acquainted with the draft resolution on this rule, share opinions, and reconcile positions. 

The meeting was opened by Tamar Aladashvili, director of the EIEC, and Maia Beradze, deputy head of the National Environment Agency.

It is noteworthy that, with the help of the National Environment Agency and international experts, the primary version of the draft resolution of the Government of Georgia was developed. The project's goal is to regulate the criteria for determining the amount of financial support for the environment, the procedure for calculating the amount of financial support, the procedure for financial support agreement in the authorised body, and other related issues.

The insurance contract or bank guarantee should be issued by insurance companies or banking institutions.