China Gezhouba Group and the Azerbaijan government have joined hands to assess utility-scale solar, wind energy, and integrated smart energy system investments. The deal has set a target of developing 2 GW of projects by 2025.
The meeting was held between Parviz Shahbazov, Head of The Ministry of Energy of Azerbaijan Republic and Lin Shanqing, Deputy Administrator of China’s National Energy Administration, to discuss cooperation in the field of energy.
The 2 GW of projects are expected to be developed by 2025. This pact has come as a part of the MoU signed between China Gezhouba Group and Azerbaijan’s Ministry of Energy in September 2020 to strengthen the two countries’ energy ties. In addition, Azerbaijan has also signed MoUs and other major deals with multiple foreign companies that include ACWA Power, Masdar, and BP, for renewable energy projects totaling 25 GW in the past two years.
Besides conducting R&D in the renewables sector, China Gezhouba Group will also assist Azerbaijan’s energy ministry in developing and implementing an efficient legal framework for renewable energy investments. The target system will be built for green energy that is based on actual capacity rather than quotas.
The country’s potential for renewable energy is estimated at about 200 GW. It is also reported that Azerbaijan is continously moving ahead with its renewable energy development plans. As per reports of The International Renewable Energy Agency, the country is estimated to have the potential to generate an estimated 10 GW of solar power and 7 GW of wind energy. Moreover, Azerbaijan will soon set up a state-owned renewable energy development agency to manage renewable energy projects across the nation.
The present MoU with China Gezhouba Group is expected to bring about considerable economic growth, job creation and improved energy security for the region. And it proves its goal of becoming an important player in the global renewable energy markets. The partnership will also attract foreign investors, spur innovation and ensure sustainable development of clean energy sources in future.