BAKU, Azerbaijan, November 18. Azerbaijan is likely to establish hydrogen production close to grid connection points, Gianluca Sambucini, Secretary of the Group of Experts on Renewable Energy (GERE), United Nations Economic Commission for Europe (UNECE), told Trend November 18.
“As highlighted in the REN21 UNECE Renewable Energy Status Report 2022, renewable energy support in Azerbaijan is gaining momentum. The decree “On measures for the implementation of pilot projects of renewable energy” was adopted in 2019 as one of the steps of the Presidential decree “On the Acceleration of Reforms in the Energy Sector of Azerbaijan”. In 2020, the government approved the Action Plan on Attracting Additional Investments in the Renewable Energy Sector. In addition, the country drafted its Long-term Energy Strategy in co-operation with the European Commission, and recently adopted the Law on Renewable Energy. The previous regulatory framework was shallow and was limited to several tariffs and tax exemptions. The new law includes Feed-in-tariff, tendering and net metering but will take time to implement. Projects under development receive a 20-year PPA. Several strategic roadmaps mention an increasing role of renewables and a reduction in the energy intensity of GDP,” he said.
Sambucini noted that within this policy framework, mega-projects are foreseen.
“These mega-projects are an indicator of international interest in the "green" energy pathway of Azerbaijan in the medium and short time period, with the intention to attract foreign investors for renewable energy projects. The development of these mega-powers is of decisive importance for the transformation of Azerbaijan's energy system to renewable energy, updating its goals for "green energy", as well as becoming an exporter of this type of energy. This may include the development of hydrogen. It is likely that hydrogen production would be established close to some grid connection points.”
---
Follow the author on Twitter: @Lyaman_Zeyn