ADB ready to provide assets for renewable energy development in Azerbaijan

Oil&Gas Materials 13 May 2013 16:25 (UTC +04:00)

Azerbaijan, Baku, May 13 / Trend E. Ismayilov /

The Asian Development Bank (ADB) is ready to allocate $ 40 million to Azerbaijan for the development of alternative and renewable energy sources, a statement posted on the ADB website says.

According to the report, the initiative is aimed at promoting the development of renewable energy sources in Azerbaijan through the implementation of two pilot projects on biomass processing with a total capacity of 16 MW for an efficient electricity and heat supply of Oghuz and Agjabadi regions of the country.

The project involves the construction of two power plants in Oguz and Agjabadi regions, the establishment of electric power and heat supply systems, as well as the management and control over the implementation of the project, including consultancy services on monitoring the project and guaranteeing accountability.

The experience of many countries shows that processing of biomass is an effective and economical solution for converting it into electricity and heat. It is estimated that the project will provide saving of gas intended for export in the amount of 95 million cubic meters per year. The implementation of the project will prevent the emission of greenhouse gases and reduce the emission of harmful substances into the atmosphere.

"The project has the potential for the development of two agricultural regions (Oghuz and Agjabadi), as well as for extending it to other regions of Azerbaijan with a similar resource base and conditions," the statement says.

In recent years, the development of alternative energy has become one of the main directions of development in Azerbaijan. In particular, at present Azerbaijan is working on an alternative and renewable energy sources development programme. The programme shall increase the share of alternative and renewable energy sources in the country to 20 percent.