Main Transport Priorities and Directions in GEORGIA
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1 Main Transport Priorities and Directions in GEORGIA Ministry of Economy and Sustainable Development of Georgia Gogita Gvenetadze Deputy Head of Ra sexvedraa, misha daamate 14 June, 2012 Tbilisi, Georgia 1
2 Outline Country Profile and Economic Snapshot Key Figures in Transport Largest Trade Partners of Georgia Who We Are? TRACECA - Transport Corridor Europe-Caucasus-Asia Civil Aviation Maritime Transport Land Transport Railway Infrastructure Projects Conclusions 2
3 Country Profile and Economic Snapshot Area km 2 Population million Life expectancy 74.4 years Official language Georgian Literacy 100% Capital Tbilisi Currency Lari (GEL) GDP 2011* US$ 13.8 billion GDP - real growth rate 2011* 6.8% GDP - Per Capita 2011* US$ 3,215.0 Inflation rate 2011 (average annual 8.5%; 2.0% e-o-p) Doing Business (2012) Components of Nominal GDP (9 m 2011*) FDI by Sectors (2011* $1000) 3
4 Key Figures in Transport 4
5 5 Import to Georgia (1000 tons) Export from Georgia (1000 tons) Largest Trade Partners of Georgia Turkey Ukraine Azerbaijan Russia Kazakhstan Singapore Bulgaria Romania China Azrmenia Greece Brazil Iran Italy Germany Turkmenistan Belarus Gabon UAE Switzerland USA Other Ukraine Turkey Azerbaijan Russia Bulgaria Kazakhstan Armenia China Romania Ghana Brazil Germany Iran Italy Turkmenistan Australia Greece UAE Singapore Belarus USA Other Azerbaijan USA Armenia China Ukraine Romania Turkey Kazakhstan India Russia Belarus UK Italy Lithuania Iran Netherlands Germany Lebanon Egypt Bulgaria Other Unknown Azerbaijan Armenia Ukraine USA Italy China Turkey Kazakhstan Mexico Romania Russia UAE Lebanon Iran Belarus Trinidad and India Lithuania Turkmenistan Netherlands Other Unknown 2011
6 Who We Are? The is responsible for devising national transport policy. Institutional reforms was implemented in Civil Aviation, Maritime Transport and Land Transport agencies were established after the division of the United Transport Administration. Basic Functions of the Department Basic Functions of the Agencies Developing the national transport policy; Facilitating transit potential; Improving legislative framework and harmonizing the Georgian legislation with international standards; Concluding international agreements; Cooperating with the international organizations and agencies; Devising common safety policy in transport sector; Participating in the intergovernmental commissions on economic cooperation, and monitoring its performance; Supporting infrastructural projects. Developing technical regulations on transport safety and security; Monitoring performance of the technical regulations; Conducting registration of airports, aircrafts, and sea vessels; Issuing certificates and appropriate permits; Simplifying administrative procedures and establishing attractive environment for investors; Ensuring passenger s rights and their interests. 6
7 TRACECA - Transport Corridor Europe-Caucasus-Asia TRACECA is a technical assistance programme The member states of the Transport Corridor Europe-Caucasus-Asia (TRACECA) currently are: Armenia, Azerbaijan, Bulgaria, Georgia, Iran, Kazakhstan, Kyrgyzstan, Moldova, Romania, Tajikistan, Turkey, Ukraine, and Uzbekistan. Since it has been launched in 1993, TRACECA has financed 80 projects out of which 66 are of technical assistance and 14 investments projects. The Basic Multilateral Agreement on International Transport for Development of the Europe-the Caucasus-Asia Corridor (MLA) signed in 1998 in Azerbaijan. Georgia proposed a draft of New Technical Annex to the Basic Multilateral Agreement on Joint Operation of Railway-Ferry Links between the Parties of MLA on the Black Sea and the Caspian Sea currently under deliberation. Georgia continues to explore other avenues of regional and international cooperation. TRACECA Programme Priorities Developing economic relations, trade and regional transport communications; Facilitating access to the international market of all transport modes; Facilitating international transport of goods and passengers; Ensuring traffic safety, security of goods and environmental protection; Creating equal conditions for competition between different types of transport. 7
8 TRACECA - Transport Corridor Europe-Caucasus-Asia Implemented Activities in Recently Completed Projects International Logistics Centres for Western NIS and the Caucasus Motorways of the Sea (MoS) for the Black Sea and the Caspian Sea Development of Common Security Management System and Cooperation in the Area of Maritime Safety and Ship Pollution Prevention for the Black Sea and the Caspian Sea TRACECA Land Transport Safety and Security TRACECA Civil Aviation Safety & Security Project Ongoing Projects Logistics Processes and Motorways of the Sea II (LOGMOS) Transport Dialogue and Interoperability between the EU and its neighbouring countries and Central Asian countries (IDEA) TRACECA Civil Aviation II 8
9 TRACECA - Transport Corridor Europe-Caucasus-Asia TRACECA Investment Forum The Second TRACECA Investment Forum was hosted in Brussels in February Transport Policy Department of the Ministry of Economy and Sustainable Development of Georgia presented the Tbilisi International Logistics Centre (ILC), and Poti-Baku Container Block Train projects. Planned Activities Facilitating implementation of the TRACECA infrastructural projects; Accession to the New Technical Annex to the Basic MLA; Cooperating with the IFIs to identify TRACECA projects with the best potential to generate successful interoperability and to develop seamless transport network which can be funded through the Public-Private Partnership (PPPs) schemes; Facilitating seamless flow of goods between the Black Sea ports and the Caspian Sea ports through logistics platforms, and improved maritime services. 9
10 Civil Aviation Priorities Implementation of the Open Sky policy; Georgia s integration into the European Common Aviation Area (ECAA); Safe, secure, and sustainable development of the Georgian Civil Aviation; Reforms and Achievements in Open Sky Policy In 2005 Georgia announced an Open Sky policy and the liberal approach to support free competition which is central for development of civil aviation. Implementation of the Open Sky policy facilitated entrance of the world s largest airlines to the Georgian civil aviation market, notably Lufthansa, Turkish Airlines, China Southern Airlines, Flydubai, LOT Polish Airlines, Air Baltic, Estonian Air, Air Astana, ATA Air, Aerosvit Ukrainian Airlines, Qatar Airways, Aegean Airlines and Estonian Air. Georgia s Integration to the European Common Aviation Area Common Aviation Area Agreement between the European Union and its Member States and Georgia was signed on 2 December 2010 in Brussels, Belgium. 10
11 Civil Aviation Other Activities and Projects Twinning project funded by the EC was launched in 2011 to support Georgia to achieve progress in civil aviation. Cooperation with the European Organisation for the Safety of Air Navigation (EUROCONTROL) was extended. Proposal for Low Cost Carriers was elaborated to facilitate entrance of the well known European Low Cost Carriers to the Georgian aviation market. Success was made to improve national civil aviation legislation, which step by step is getting into compliance with the EU and international regulations. Planned Activities Gradual harmonization of Georgia s aviation legislation with the European standards and implementation of the EU aviation rules in aviation safety, security, environment, consumer protection, air traffic management, economic regulation, competition issues, and social aspects; Acceleration of the process of accession to the EUROCONTROL. 11
12 Civil Aviation Two new airports are planned to be developed in Georgia: Kopitnari International Airport in Kutaisi which will be focused to attract the Low Cost airlines. Modernization of Kopitnari International Airport will be finished in Rakia Georgia is planning to build a new international Airport in Poti. The airport will become a hub for the regional and international transportation. Kopitnari International Airport IATA code KUT 14 km from city centre Location Kutaisi Time zone GMT + 3 hrs Runway 2500x44 meters Surface Concrete Passenger terminal 4,500m 2 Capacity 250 passengers per hour Operating hours 24 hours operations Stands 6 Parking 120 cars 12
13 Maritime Transport Priorities Enhancing competitiveness of the Georgian maritime sector; Harmonizing legislation with the international standards; Close cooperation with the regional and the EU states in maritime transport; Upgrading seafarers training and certification system; Enhancing maritime safety, security, and environmental protection. Reforms and Achievements in Deepening cooperation with the international organizations, namely, the International Maritime Organization (IMO), European Maritime Safety Agency (EMSA), European Commission, Black Sea Memorandum of Understanding (BSMU), US Coast Guard, International Labour Organization (ILO), International Association of Classification Societies (IACS), and Black Sea Economic Cooperation (BSEC); Legislative changes with respect to the training and certification system of seafarers, including fishermen; Strengthening flag state and port state control; Upgrading maritime search and rescue coordination, and marine pollution prevention and response system. Planned Activities Harmonizing the Georgian maritime legislation with the international standards; Cooperating with the international organizations, maritime industries, and relevant stakeholders; Improving flag state and port state performance; Raising awareness about Maritime Georgia through the international maritime forum and publishing Georgian maritime news in the international maritime media. 13
14 Land Transport Priorities Harmonizing legislation with the international rules and regulations; Acceding and implementing international conventions; Concluding bilateral intergovernmental agreements; Developing common safety policy. 14
15 Land Transport Reforms and Achievements in On 19 May 2011 Georgia accessed to the European Agreement concerning the Work of Crews of Vehicles Engaged in International Road Transport (AETR) (1970). In May 2012 Georgia became a party to the Convention concerning International Carriage by Rail COTIF (1980). Georgia signed the Agreement on the Development of Cargo Transportation in the Direction of the Baltic Sea-Black Sea the Viking project on 15 March Planned Activities Implementation of the AETR Agreement; Starting accession to the European Agreement Concerning the International Carriage of Dangerous Goods by Road (ADR) (1957); Elaboration of draft agreements on transportation of goods and passengers by road with partner countries; The Land Transport Agency initiated to introduce integrated information management system on land transportation industry and to offer electronic services to simplify existing procedures and increase transport efficiency; 15
16 Railway Infrastructure Projects Railway Infrastructure Projects Baku-Tbilisi-Kars Railway Project Linking countries: Azerbaijan-Georgia-Turkey Start date: 2007 End date: 2013 Construction of the new railway line: 98 km Rehabilitation and reconstruction: 178 km Railway initial capacity: 5 million tons per year Tbilisi Railway Bypass Project New railway route bypasses the central Tbilisi Start date: 2010 End date: 2013 Construction of the new railway line: 27 km Reconstruction: 10 km Reducing environmental impact Freed up 86 ha plot in the center of Tbilisi Georgian Railway Modernization Project Modernization of the existing railway infrastructure Start date: 2010 End date: 2016 Construction of the tunnel: 10 km Reconstruction: tracks, electric power systems, railway structures, bridges and tunnels Increasing traffic capacity and reducing travelling time 16
17 Conclusions Reforms implemented in 2011 has significantly increased safety in International road transportation; Georgia actively collaborates towards implementation of TRACECA projects; After announcing of Open Sky policy, number of air companies increased in Georgia; Kutaisi airport will significantly support to attract low cost air companies in Georgia; Georgian maritime transport image has significantly increased in last period; Current projects in railway and road transport sphere will significantly support to attraction of additional cargo flows to Georgia. 17
18 THANK YOU FOR YOUR ATTENTION! М И Н И С Т Е Р С Т В О Э К О Н О М И К И И У С Т О И Ч И В О Г О Р А З В И Т И Я Г Р У З И И Д Е П А Р Т А М Е Н Т Т Р А Н С П О Р Т Н О Й П О Л И Т И К И Gogita Gvenetadze Deputy Head of Ministry of Economy and Sustainable Development of Georgia Address: 12 Chanturia St Tbilisi, Georgia Tel: + (995 32) Mob: + ( ) ggvenetadze@economy.ge Ra sexvedraa, misha daamate 18
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