Azerbaijan leverages renewable energy investment opportunities
Eyes green energy export to Europe

ECONOMICS  26 March 2024 - 17:56

Azerbaijan is actively seeking partnerships with investors as it transitions towards renewable energy, leveraging its status as a traditional energy producer to attract both international companies and domestic investors into renewable projects.

Economy Minister Mikail Jabbarov emphasized this stance in an interview with Chinese TV channel CGTN, according to Report.

Jabbarov highlighted Azerbaijan's systematic investment in institutional frameworks, economic policies, and infrastructure development to facilitate a smooth transition towards renewable energy. He noted that the country is already ahead of its target to fulfill 30% of its energy demand from renewable sources by 2030.

The significance of Azerbaijan's commitment to renewable energy was underscored by its unanimous selection as the host country for the 29th session of the Conference of the Parties to the UN Framework Convention on Climate Change (COP29). Jabbarov expressed Azerbaijan's sense of responsibility towards this task, emphasizing their dedication to contributing substantially to the global climate agenda.

As the chair of COP29, Azerbaijan aims to focus on climate finance, seeking collaboration with stakeholders to drive new initiatives and tangible action. Jabbarov stressed the importance of nations adhering to their climate goals and committing to substantive action during COP29.

Discussing energy transition and renewable energy production, Jabbarov outlined Azerbaijan's ambition to become a pan-European supplier of green energy. He highlighted a regional project, initiated by Azerbaijan along with Georgia, Bulgaria, Romania, and Hungary, aimed at exporting wind and solar energy to European markets via the Black Sea.

This initiative, formalized by the Agreement on Strategic Partnership signed in Bucharest in December 2022, envisions the production of green electricity in Azerbaijan's Agstafa District, its transportation via Georgia's Kulevi port, and onward delivery to Romania's Constanta port for distribution to Hungary and beyond.

Azerbaijan plans to initially export 4 GW of green energy to Europe via the Black Sea, tapping into its vast renewable energy potential. The country boasts significant wind and solar energy potential, with 27 GW on land and an additional 10 GW in liberated territories. Furthermore, the Azerbaijani sector of the Caspian Sea offers a substantial wind energy potential of 157 GW.

In alignment with its renewable energy ambitions, Azerbaijan aims to increase the share of renewable energy in its total installed electricity capacity to 33% by 2027. This commitment reflects Azerbaijan's proactive approach towards sustainable development and its desire to play a significant role in the global transition to clean energy.

Caliber.Az