Azerbaijan’s energy future brightens with World Bank-backed grid expansion

The World Bank has reaffirmed its commitment to supporting Azerbaijan’s sustainable development through a landmark renewable energy project aimed at significantly expanding the country’s electricity grid capacity.

Stefanie Stallmeister, the World Bank Country Manager for Azerbaijan, announced during the signing ceremony of a $173.5 million loan agreement that the joint initiative between the Azerbaijani government and the World Bank will enable the integration of 1.8 gigawatts of electricity into the national grid. This milestone, she emphasized, represents a major advancement for Azerbaijan’s energy sector, Caliber.Az reports via local media.

Stallmeister stated that after the completion of the project, Azerbaijan would be able to integrate 1.8 gigawatts of electricity into the grid, describing it as a very significant achievement.

 “In addition, the project will catalyze private sector investment in renewable energy, which is crucial for the sector’s growth and diversification.”

Highlighting Azerbaijan’s ongoing transition towards a greener energy future, Stallmeister noted the country’s commitments at COP29 and its proactive measures to develop renewable energy sources. “Azerbaijan is transforming itself into a green energy country,” she stated. “We hope that this new project will be followed by others.”

Expressing confidence in the strong partnership between Azerbaijan and the World Bank Group, Stallmeister pointed out the Bank’s dedication to supporting projects aligned with Azerbaijan’s socio-economic priorities.

“We look forward to continuing our cooperation with Azerbaijan as a reliable partner, contributing to the country’s sustainable and inclusive development,” she concluded. 

By Vafa Guliyeva