BAKU: Azerbaijan is making significant strides toward enhancing its renewable energy capacity, aiming to achieve a 33% share in its electricity production by 2027, as part of its commitment to the “Green World Solidarity Year” and COP29 initiatives. Minister of Energy Parviz Shahbazov highlighted these efforts in a detailed article published in the “Azerbaijan” newspaper.
According to Trend News Agency, Shahbazov outlined the country’s dynamics of electricity production and export, which will increasingly rely on renewable energy sources in the coming years. To support this green transition, Azerbaijan is leveraging its rich potential and favorable conditions, including new state policies, a legislative framework, and collaboration with international investors. The country plans to construct and connect 8 industrial-scale solar and wind power plants by 2027, with a combined capacity of about 2 GW and backed by around $2.8 billion in investments.
The World Economic Forum’s “Promoting Efficient Energy Transit
ion 2023” report also recognizes Azerbaijan’s progress, placing it 32nd among 120 countries with an energy transition index score of 62. This ranking reflects improvements in the country’s regulatory frameworks and energy infrastructure.
In a significant move to boost its renewable energy portfolio, the United Arab Emirates-based Masdar commenced the construction of three new energy stations in June, involving a total investment of approximately $1 billion and a combined capacity of 1,000 MW. These are located in Banka village of Neftchala, Bilasuvar, and Absheron, with individual capacities of 315 MW, 445 MW, and 240 MW respectively.
Additionally, a framework agreement was signed with ACWA Power for the development of projects including a battery energy storage system (BESS) and onshore wind power, each with capacities of 200 MW.
The Asian Development Bank (ADB) is also supporting Azerbaijan through the “Exchange of knowledge and technical assistance in the development of a system of floating solar panel
s” project. This initiative led to the launch of the first floating solar power plant on Boyukshor Lake, boasting a capacity of 100 kW and an annual production capability of 160,000 kWh.
Furthermore, Azerbaijan has launched its initial auction process for renewable energy projects, with the results for the 100 MW Gobustan HPP project expected to be announced during COP29. The Shafag solar power station, another COP initiative, will add 240 MW to the country’s renewable capacity.
In the realm of thermal power, the construction of the Khizi-Absheron thermal power plant (TPP) is underway, promising an additional 240 MW of capacity by next year. Meanwhile, Nobel Energy and China Gezhouba Group Overseas Investment are advancing the development of solar power facilities in Jabrayil and Fuzuli districts, totaling 260 MW.