BAKU, Azerbaijan, August 8. The World Bank (WB) and the government of Azerbaijan will allocate approximately $380 million to the AZURE (Azerbaijan Scaling-Up Renewable Energy) project aimed at strengthening the transmission network to integrate renewable energy sources into the country’s grid, Trend reports.
According to the WB project evaluation report, the initial cost of the project was estimated at $250 million.
The WB will provide a $284.8 million loan for the AZURE project through the International Bank for Reconstruction and Development (IBRD), with project approval scheduled for October 31 at the Bank’s Board of Directors meeting.
Meanwhile, the government of Azerbaijan will allocate $107.1 million to connect the Bilasuvar and Banka solar power plants (SPPs) to the grid through the Navai and Absheron substations. This funding will enable both SPPs to become operational by the end of March 2026.
The WB plans to allocate $218.4 million to strengthen and develop renewable energy transmission infrastructure as part of the first component of the project, with $159.4 million designated for the construction of high-voltage transmission lines.
The second component of the project involves a $48 million allocation (plus an additional $3.4 million for contingencies) for improving system operations and control to integrate variable renewable energy sources (VRE).