Foreign investors to invest about $400 million in renewable energy projects in Azerbaijan

Oil&Gas Materials 21 October 2020 09:29 (UTC +04:00)
Foreign investors to invest about $400 million in renewable energy projects in Azerbaijan

BAKU, Azerbaijan, Oct.20

By Fidan Babayeva - Trend:

The work continues on cooperation between the governments of Azerbaijan and the Islamic Republic of Iran in the field of electricity, Trend reports referring to the Ministry of Energy in Azerbaijan.

According to the Energy Minister Parviz Shahbazov, work continues on jointly implemented projects within the framework of the construction of the Ordubad and Marazad hydroelectric power plants.

"Azerbaijan is interested in deepening cooperation in the field of power engineering with neighboring countries," Shahbazov said.

"The energy transition is currently accelerating in the global energy system. The energy transition in the modern era is seen as a tool that balances energy security, economic development, and environmental protection. To this end, strategic decisions are made that clearly support the expansion of the use of renewable energy and energy efficiency. It is obvious that the transition to green energy will become an irreversible process of the 21st century," the minister said.

"Reducing technology-related costs, global climate challenges, political incentives, the propensity to invest in renewable energy from the hydrocarbon sector, and considering the world economy as part of a sustainable recovery plan after the crisis are factors that increase the competitiveness of this type of energy," he said.

"Expanding the use of renewable energy sources, improving the efficiency of the energy system and a gradual transition to a liberal market model are the goals of the reforms carried out under the leadership of President Ilham Aliyev. Today, our main goal is to increase the share of renewable energy in the supplied power capacity from renewable energy sources to 30 percent, in accordance with the tasks set for us by the President of Azerbaijan," the minister outlined.

Shahbazov noted that one of the first successful steps in the implementation of this new strategic line in the energy sector was the signing in January of this year between ACWA Power from Saudi Arabia and Masdar from the United Arab Emirates of executive contracts for pilot projects on wind power with a capacity of 240 megawatts and solar energy with a capacity of 200 megawatts.

"The wind and solar power plants with a capacity of 440 megawatts will be built with a total volume of foreign investment of about $400 million, which will be an example of attracting investors to one of the first projects in the field of renewable energy in our country," the minister summed up.


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