BAKU, Azerbaijan, February 23. At present, renewable energy sources contribute 44% to the total installed capacity and account for 36.4% of electricity generation in Nakhchivan, Azerbaijan’s Energy Minister Parviz Shahbazov said, Trend reports.
He made the announcement at the Ministry of Energy with the participation of Azerenergy Open Joint-Stock Company (OJSC), Nakhchivan Autonomous Republic’s Minister of Economy Kazim Huseynaliyev, the State Agency on Renewable Energy Sources, Azerbaijan Green Energy Company (AGEC), CEI Nakhchivan Limited Liability Company (LLC), Nobel Energy, and Enerso LLC.
“The wide application of renewable energy sources to strengthen the energy security of the Nakhchivan Autonomous Republic, accelerate its sustainable socio-economic development, and transform it into a regional energy production and export hub is one of the priority directions of the strategic course set by the head of state. Currently, the share of renewable energy sources in Nakhchivan accounts for 44% of installed electricity capacity and 36.4% of production. The Shams 1 and Garbi Ufug solar power plants, which represent the first examples of private investment in the renewable energy sector in Nakhchivan and have a total investment value exceeding 60 million manat ($35.2 million), will make a significant contribution to the formation of a green development model in the region,” Minister Shahbazov stated.
During the meeting, an Investment Agreement, a Power Purchase Agreement, and a Grid Connection Agreement were signed between the Government of the Republic of Azerbaijan and Azerenergy OJSC, and CEI Nakhchivan LLC for the 25 MW Shams 1 Solar Power Plant project in the Nakhchivan Autonomous Republic. Similar agreements were also signed between the Government of Azerbaijan and Azerenerji OJSC, and Enerso LLC for the 25 MW Garbi Ufug Solar Power Plant project.
The investment agreements were signed on behalf of the Government of Azerbaijan by Energy Minister Parviz Shahbazov, while the power purchase and grid connection agreements were signed by Baba Rzayev, President of Azerenerji OJSC.
The implementation of these projects is expected to generate a total of 122 million kilowatt-hours of electricity annually, enabling savings of 26 million cubic meters of gas and reducing carbon emissions by 57,000 tons.