EBRD Backs Azerbaijan’s Largest-Ever Solar Projects With Landmark Financing At COP29

At COP29 in Baku, the European Bank for Reconstruction and Development (EBRD) announced a major investment in Azerbaijan’s renewable energy sector. Partnering with the Asian Development Bank (ADB) and the Asian Infrastructure Investment Bank (AIIB), each bank will provide $160 million to finance two large-scale solar power projects.

The projects, developed by Masdar and SOCAR Green, include a 445 MW solar plant in Bilasuvar and a 315 MW facility in Neftchala. Together, they will deliver a total capacity of 760 MW, making them the largest solar projects in the Caucasus. Construction has already started, with completion targeted for 2027. These projects play a key role in helping Azerbaijan reach its goal of generating 30% of its power from renewable sources by 2030.

Nandita Parshad, Managing Director of the EBRD’s Sustainable Infrastructure Group, said in a statement, “We are very pleased to be financing these solar plants, the largest to date in the Caucasus, saving over 600,000 tonnes of CO2 annually. In addition to the real-world impact of powering up to 300,000 homes with green energy, this significant investment will transform the entire renewable energy market in the region.”

The European Bank for Reconstruction and Development (EBRD) continues to lead the way in climate financing, providing over €6.5 billion in green funding in 2023, which accounted for 50% of its total investments. As the largest institutional investor in the Caucasus, the EBRD has been a key partner for Azerbaijan for over 30 years, investing €3.7 billion across 191 projects. This includes Azerbaijan’s first utility-scale solar power plant, recently completed by Masdar, and contributing to more than 1.2 GW of renewable energy capacity in the country. These efforts highlight the EBRD’s commitment to driving climate action and mobilizing private-sector funding in its regions.