Abu Dhabi-based renewable energy company Masdar will develop a 230-megawatt (MWac) utility-scale solar photovoltaic (PV) project in the Republic of Azerbaijan.
The project will be Azerbaijan’s first foreign investment-based independent solar project structured as a public-private partnership.
#Masdar has signed agreements to develop a utility-scale solar PV project in the Republic of #Azerbaijan. The 230-megawatt (MWac) project is the country’s first foreign investment-based independent solar project structured as a public-private partnership.#ForASustainableFuture pic.twitter.com/zcpD2yriE9
— Masdar (@Masdar) April 7, 2021
Speaking on the occasion, Azerbaijan’s Minister of Energy Mr. Parviz Shahbazov remarked that “The transformation of Azerbaijan into a country of “green growth” through the extensive use of renewable energy sources over the next 10 years has been defined by Ilham Aliyev, the President of the Republic of Azerbaijan as one of the national priorities that will ensure socio-economic development. By signing these contracts for a solar power plant worth about US$200 million, we are one step closer to our goals for renewable energy and carbon emissions. The solar power plant to be built in Baku and Absheron district will produce about 500 million kWh of electricity annually, save 110 million cubic meters of natural gas, reduce carbon emissions by 200,000 tons, create new jobs and attract other investors to new projects.”
“For the UAE, it is important that our actions on climate always amplify the efforts of others around the world. This partnership with Azerbaijan is a great opportunity to leverage our collective wills on this key issue to work towards meeting global climate goals, reducing environmental impacts and creating new knowledge, skills and jobs.” Al Mazrouei said, “Today’s landmark agreements will enhance co-operation between the Republic of Azerbaijan and the United Arab Emirates in the renewable energy sector. Azerbaijan and the UAE, both signatories to the Paris Agreement, are united in our commitment to combating climate change. We look forward to working with Azerbaijan on other clean energy opportunities in future.”
Masdar had signed the implementation agreement for the project in January last year. The new plant is expected to be ready for commercial operation in early 2023.
Azerbaijan’s pivot towards renewable energy
Azerbaijan is targeting to increase its installed power capacity to 30 percent from renewable sources by 2030, as the country looks to diversify its economy and reduce greenhouse gas emissions. The country, as per the International Renewable Energy Agency (IRENA) estimates, has an estimated solar energy potential of 23,040 MW
The Masdar-backed project is expected to generate half a billion kilowatt-hours of electricity annually, enough to meet the needs of more than 110,000 homes, and will reduce emissions by 200,000 tons a year.