Azernews.Az

By Rasana Gasimova

Azerbaijan's Energy Minister Parviz Shahbazov has chaired a second meeting of the commission on pilot projects in the field of using renewable energy sources.

During the meeting held in Baku on December 29, participants discussed allocation of the land for pilot projects, the issuance of state guarantees to investors, and the economic evaluation of the projects were discussed. Initial proposals for improving and integrating to the network were reviewed.

The sides exchanged views on legal and institutional issues. Also, detailed information on bidding international consulting companies was given.

Addressing the meeting, Parviz Shahbazov noted that the president’s instructions on expanding the use of renewable energy create opportunities for the development of the energy sector of the country in line with modern trends and for attracting foreign investment in the non-oil sector. He expressed his views on the activities implemented and gave instructions to the working groups.

At the end of the meeting, the working groups were recommended to speed up the implementation of the Commission's proposals to submit to the president within the timeframes stipulated in the order.

The commission on renewables was created upon the president’s order dated December 5, 2019, "On measures for the implementation of pilot projects in the field of using renewable energy sources".

Seven working groups, consisting of representatives of the Ministry of Energy, the Ministry of Economy, the Ministry of Finance, the Ministry of Emergency Situations, the Ministry of Ecology and Natural Resources, the Ministry of Justice, "Azerenergy" OJSC, "Azerishig" OJSC, State Committee for Urban Planning and Architecture, State Service on Property Isuues, Tax Service, Central Bank and other bodies work to implement the order.

The first meeting of the commission was held on December 13. As part of the meeting, the documents on cooperation with nine international companies were signed.

Currently, renewable energy sources account for 18 percent of Azerbaijan’s total energy consumption.

In the coming years, important steps will be taken to develop renewable and alternative energy, and a number of projects will be implemented in this direction. The development of this area will also help reduce environmental impact.

The Energy Ministry has already signed memorandums of understanding with BP, TOTAL and Equinor on alternative energy cooperation. The country is currently working on the new draft law on alternative energy sources jointly with Norwegian company DNV GL.

According to the Market Analysis Azerbaijan 2019, expansion of renewable electricity generation is estimated at 430 MW in 2018-2020, 840 MW in 2021-2025, and 925 MW in 2026-2030. The share of renewables in the total power generation is expected to be 15 percent by 2020, 25-30 percent by 2025 and 35-40 percent by 2030.

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