BAKU, Azerbaijan, June 11. Azerbaijan could free up 1.5 billion cubic meters of gas by developing renewables and upgrading its power grid, Deputy Minister of Energy Elnur Soltanov said, Trend’s correspondent at the event reports.
He made the remark at the event “Technovation – Science and Innovation for Sustainable Economic Transformation,” organized by the American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) in Baku.
"Azerbaijan continues to diversify its energy mix by increasing the share of renewable energy sources, which frees up natural gas for export. Previously, about 95% of Azerbaijan’s electricity generation relied on natural gas. Replacing part of the generation with renewable energy sources allows for the release of natural gas volumes, which have high export value. Azerbaijan plans to increase the capacity of renewable energy sources to 2 gigawatts by 2027 in cooperation with its strategic partner Masdar. “As part of the modernization of the energy system, facilities in Mingachevir are being upgraded, including the replacement of outdated turbines, which has improved generation efficiency,” he said.
According to him, the combined effect of the new capacity and modernization will free up about 1.5 billion cubic meters of natural gas, which is comparable to the volume of a large gas field.
Soltanov noted that integrating renewable energy sources into the power grid requires modernizing the power grid infrastructure, with investments of approximately $500 million.
He emphasized the need to ensure the economic viability of energy projects alongside considerations of energy security and environmental goals.
According to him, the country's limitations, including geographical and infrastructural characteristics, as well as the complexity of scaling projects, are taken into account when implementing energy policy.
Furthermore, Soltanov noted that Azerbaijan possesses significant energy potential, including in the Caspian region, which simultaneously presents both opportunities and infrastructure challenges.
He added that the priority of energy policy is to achieve a balance between environmental goals, energy security, and the economic sustainability of projects.
