Legal regulation for sanctioning rules in the energy, natural gas, water supply, and irrigation sectors

Abstract

An important and relevant issue has emerged on the global agenda. Specifically, many countries, including Georgia, implement sanctioning rules. The sanctioning rule applies when individuals or legal entities violate laws, regulations, and various provisions. Sanctions may include financial, administrative, or legal measures to prevent regulatory violations in the country. These rules are defined in laws and specific legal norms. The imposition and extent of sanctions depend on the type and severity of the violation. This paper examines the sanctioning rules for enterprises operating in the energy sector in Georgia and several European countries (the United Kingdom, Estonia, and Lithuania). It also discusses the necessity of the Georgian National Energy and Water Supply Regulatory Commission (hereinafter "GNERC") to adopt sanctioning rules and the adopted regulations' practical application. The study will also focus on violations of licensing conditions in the energy sector, which lead to legal liability that may result in various types of sanctions. The extent of liability depends on national legislation and the nature of the violated conditions. Compliance with licensing conditions ensures the legality of licensed activities and helps avoid legal issues if no violations occur.