Towards securing nation's sustainable energy security in post fossil fuel era

Azerbaijan is gifted with high potential for renewable energy sources with the technical potential of onshore and offshore renewable energy sources totalling 135 GW and 157 GW. The economic potential of renewable energy sources is estimated at 27 GW, including 3,000 MW of wind energy, 23,000 MW of solar energy, 380 MW of bioenergy potential, and 520 MW of mountain rivers.

No matter how rich Azerbaijan is in energy resources as a globally-recognized energy exporter, Azerbaijan is driven by a passion to prepare the country for a possible post-fossil fuel period highly advocated by the West with tangible moves to reduce dependence on hydrocarbons in years to come.

Azerbaijan is making every effort to participate in the global processes of the “great energy transition of 2030”. Projects being implemented in this area are aimed at multiplying generation in the alternative energy sector. Plans are to build solar and wind power stations in the Karabakh region and the Nakhchivan Autonomous Republic, and in the future, the construction of offshore wind generators for the production of green hydrogen, etc.

One of the most important steps in this direction was the construction of the largest solar power plant in the region - the Garadag SPP. This large-scale project was implemented by UAE’s Masdar in the shortest possible time, and on October 26, 2023, with the participation of Azerbaijani President Ilham Aliyev, the opening ceremony of a new solar generation facility took place.

Over the past three years, work has also been intensified in Azerbaijan aimed at expanding the renewable energy sector, the share of which in the domestic energy system is planned to increase to at least 30 per cent by 2030. In the coming years, about 1,500 MW of generating capacity will be commissioned in the republic, and this task will have to be solved mainly by attracting private investors.

Foreign capital was also involved in the implementation of the largest project in recent years - the construction by Masdar from the UAE of the Garadag solar power plant with a capacity of 230 MW. Founded in 2006, this company is one of the world leaders in the renewable energy sector and over the past 17 years has implemented projects with a total investment capacity of more than 20 GW in more than 40 countries around the world.

In keeping with forecasts, the commissioning of a solar station will provide electricity to 110,000 apartments and save 110 million cubic meters of gas annually. Reducing dependence on the production of thermal energy will allow Azerbaijan to export the volumes of blue fuel released as a result of the commissioning of solar power plants to the high-margin markets of Turkey and the European Union.