Abu Dhabi Future Energy Company "Masdar" and "SOCAR Green" announced the completion of the financial closure for both the 445 MW "Bilasuvar" solar power plant and the 315 MW "Neftchala" solar power plant in Azerbaijan.
The Emirates News Agency (WAM) reports that Azerbaijan's national oil company, "SOCAR," fully owns "SOCAR Green," a subsidiary focused on sustainable projects.
The funding entities for the solar energy projects include the European Bank for Reconstruction and Development, the Asian Development Bank, and the Asian Infrastructure Investment Bank. The total value of the projects is expected to exceed $600 million.
The financing agreements were signed on the sidelines of the COP29 conference, held in the Azerbaijani capital, Baku, in the presence of Parviz Shahbazov, Minister of Energy of the Republic of Azerbaijan; Abdulaziz Al-Abaidli, Chief Executive Officer of Operations at "Masdar," Afghan Isayev, Deputy Chairman of "SOCAR," and Harry Boyd Carpenter, General Director for Climate Strategy and Implementation at the European Bank for Reconstruction and Development.
During a ceremony on the sidelines of the Baku Energy Week in June 2024, "Masdar" and "SOCAR" laid the foundation stone for the "Bilasuvar" and "Neftchala" solar energy projects. The construction of the two projects is scheduled to be completed by the first quarter of 2027.
"In line with the vision and directives of the leadership to enhance international cooperation and support the implementation of renewable energy projects and solutions, these agreements underscore the importance of long-term strategic investments and partnerships, accelerating climate finance, and developing more clean energy projects," said Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology of the UAE, President of COP28, and Chairman of the Board of Directors of "Masdar."
He added that the UAE and Azerbaijan are striving to strengthen the close cooperative relations between the two countries and invest in opportunities to develop clean energy projects and provide them at an affordable cost.
"Masdar" continues its commitment to supporting sustainable economic and social development while contributing to tripling global renewable energy capacities by 2030 in line with the historic "UAE Agreement" goal, according to Al Jaber.
For his part, Mohamed Jameel Al Ramahi, CEO of "Masdar," emphasized the importance of signing financing agreements for these two prominent solar energy projects in Azerbaijan, shortly after the inauguration of the Karadag solar power plant, the largest of its kind in Azerbaijan, last year.
He pointed out that Azerbaijan is considered a key strategic market for "Masdar," which seeks to contribute to achieving its ambitious goals in the field of clean energy.
Rovshan Najaf, the head of SOCAR, confirmed that today's agreement represents an important step reflecting the depth of the strategic partnership and the shared vision between SOCAR and Masdar.
He pointed out that the financial closure of two solar power projects with a total capacity of 760 megawatts reinforces the commitment to diversifying energy sources and achieving sustainable development goals.
Najaf further emphasized that this partnership with "masdar" exemplifies the importance of cooperation and the pooling of efforts to achieve tangible progress that positively impacts the energy sector.
