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Akbar Novruz

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The President of Azerbaijan has signed a new order to implement additional measures for the reconstruction and restoration of the distribution electricity network in the Nakhchivan Autonomous Republic.

The reforms, as outlined in the order, are part of Azerbaijan’s broader energy sector modernization program, aimed at improving reliability, sustainability, and the security of power supply. These measures will also ensure efficient and high-quality electricity delivery to consumers, while reinforcing the economic development of the Nakhchivan region.

Action plan for 2026–2030

To this end, the "Action Plan for the Reconstruction and Restoration of the Distribution Electricity Network of the Nakhchivan Autonomous Republic for 2026–2030" has been approved. Its implementation will be carried out by "Azerishig" OJSC, which will report annually to the President on its progress. The Cabinet of Ministers has been tasked with ensuring that sufficient financial resources are allocated in future state budget projects to finance the plan.

The program foresees the reconstruction of 110 kV and 35 kV substations, the laying of new power transmission lines, and the overhaul of 6–10 kV and 0.4 kV networks. It also includes the introduction of SCADA systems for real-time automatic control, the replacement of electricity meters, and measures to reduce network accidents.

In parallel with the Action Plan, "Azerenergy" OJSC has signed a contract worth 39,881,427 manats (approximately $23.4 million) with the Electrical Installation Enterprise to upgrade critical electricity lines. The project includes the reconstruction of 110 kV overhead lines in a two-circuit format and the conversion of sections within Nakhchivan city into underground cable lines for enhanced safety and efficiency.

These measures are designed to strengthen energy supply in Nakhchivan, ensure uninterrupted and safe electricity services for the population, and accelerate the adoption of modern technologies.

Nakhchivan is already distinguished by its green energy capacity. According to the State Energy Service of the Nakhchivan Autonomous Republic, total installed capacity of power plants under its structure is 244.8 MW, with the majority represented by renewable generation facilities. During high river flow periods, alternative energy accounts for more than 90% of all electricity produced.

In 2024, 55% of Nakhchivan’s total electricity generation came from renewable sources, including hydro, solar, and wind power. The Energy Ministry estimates the region’s overall renewable potential at five GW.

Looking ahead, the government’s strategic target is to attract foreign investment for the creation of wind and solar energy capacities totaling 1,500 MW, enabling exports of at least 1,000 MW. The Ministry has been developing a Green Energy Zone Development Concept in Nakhchivan since last year to support this initiative.

Partnerships and green exports to Türkiye

The region’s unique geography—bordering several countries and offering abundant hydro, wind, and solar potential—has drawn strong interest from international investors. Several major projects are already under negotiation. In particular, TotalEnergies and Nobel Energy are preparing to build solar power plants with a combined capacity of 650 MW. These plants will be designed to export green electricity directly to Türkiye. And considering that the Trump Route for International Peace and Prosperity (TRIPP) project, recently mentioned as part of the Azerbaijan-Armenia peace agenda, includes plans for electricity exports, we can see the potential of this plan developing in the future, mainly in terms of finding new markets.

The ultimate goal is for Nakhchivan not only to fully meet its domestic electricity demand but also to become a net exporter of green energy to regional markets.