The Ministry of Energy of Azerbaijan, with assistance from the European Bank for Reconstruction and Development (EBRD), has unveiled the nation’s inaugural renewable energy auction for a 100-megawatt solar power plant project situated in Gobustan.
The Ministry has made the public call for applications accessible through its official website. Prospective participants can obtain the Request for Qualification Documentation starting from April 30 and are encouraged to submit their Statements of Qualification by June 14.
As Azerbaijan gears up to host the United Nations COP 29 climate change conference in Baku in November 2024, the country has committed to elevating the renewable energy segment of its installed electricity-generation capacity to a minimum of 30 percent by 2030. It aims to achieve this by tapping into its green energy potential through private investments in utility-scale renewables.
In recent times, the Azerbaijani government has embarked on various reforms, devised strategies, and enacted legislation to attract private-sector financing for green initiatives. Aligned with the nation’s environmental agenda, the EBRD has lent its support to the authorities in crafting the requisite legal and regulatory framework for introducing competitive procurement mechanisms for renewable energy, including contributions towards a new Renewable Energy Law.
Aida Sitdikova, Head of Energy for Eurasia, Middle East, and Africa in the EBRD’s Sustainable Infrastructure Group, expressed enthusiasm about Azerbaijan’s move towards renewables auctions, acknowledging it as a significant stride towards a more diversified and sustainable energy sector. She extended gratitude to the Ministry of Energy, the Azerbaijan Renewable Energy Agency under the Ministry of Energy, and all stakeholders involved in advancing this initiative.
The EBRD remains steadfast in bolstering Azerbaijan’s decarbonization efforts. The Bank has played a pivotal role in spearheading green projects in the country, including the financing of the first utility-scale solar plant in Garadagh and the largest wind farm in Absheron and Khizi.
To date, the EBRD’s investments in Azerbaijan amount to over €3.7 billion across 189 projects, reflecting its longstanding commitment to fostering sustainable development and green initiatives in the region.