Abkhazia disputes who sets utility tariffs amid local backlash
In Abkhazia, a debate is under way over who should set utility tariffs.
The government’s attempt to take control of tariff policy has met with unexpected resistance from local authorities — city and district assemblies.
In Abkhazia’s parliament, a bill amending legislation on state price regulation has been approved in its first reading.
There was little debate among MPs, as the proposed changes — transferring the authority to set housing and utility tariffs from local authorities to the central government — were initially seen as largely “technical”.
However, lawmakers are unlikely to remain as united during the second reading, as the reaction from municipal authorities has been sharply negative.
The first to voice concern were members of the Sukhum City Assembly, who said the issue went far beyond a technical amendment.
“This is about who will be accountable to the public. People come to us with all kinds of issues — complaints about water, waste and electricity. When it comes to tariffs, we cannot stand aside, because for people these are not just numbers, they affect household budgets.
If the city assembly loses control over tariffs, then, in my view, people also lose, to some extent, a layer of protection. When local oversight is removed, when the city’s voice no longer matters, people are left asking a fair question — who will protect them?” said Astamur Gemua, a member of the Sukhum City Assembly.
The Sukhum Assembly says transferring the authority to set tariffs to the cabinet of ministers, without addressing the issue of financial responsibility, risks creating a serious imbalance. Decisions would be taken at the national level, while the consequences — financial, social and infrastructural — would fall on city authorities. If tariffs set by the cabinet prove economically insufficient, municipal enterprises could begin to incur losses.
The protest by Sukhum deputies was backed by the Tkvarcheli District Assembly. This region of Abkhazia is considered one of the most economically depressed, and rising utility tariffs are a particularly sensitive issue for local residents.
The Tkvarcheli Assembly therefore unanimously opposed transferring the authority to set utility tariffs to the government. In doing so, it cited not only the law on local self-government but also the constitution.
The pushback against the proposed tariff changes is unlikely to stop there, with other regional assemblies across the republic expected to join.
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Utility services in Abkhazia
