Azerbaijan is accelerating the development of its renewable energy sector as the country moves from individual clean energy projects toward a broader transformation of its power system. A major milestone in this transition is the commissioning of the 100 MW Gobustan solar power plant in the Garadagh district.
The Gobustan project has been developed on a 300-hectare site and is expected to generate around 200 million kilowatt-hours of electricity annually. The plant is projected to save approximately 45 million cubic metres of natural gas each year and prevent nearly 97,000 tonnes of carbon dioxide emissions. The project was awarded through Azerbaijan’s competitive renewable energy auction system, with China-based Universal International Holdings Limited selected as the successful bidder.
The commissioning of Gobustan follows the launch of the 240 MW Khizi-Absheron wind power plant, developed by Saudi Arabia-based ACWA Power. Together, these projects are strengthening Azerbaijan’s renewable generation capacity while reducing the amount of natural gas required for domestic electricity production. The gas saved through renewable generation can potentially be directed toward export markets.
Azerbaijan is also expanding its electricity transmission infrastructure to accommodate rising renewable generation. New grid facilities include a 330 kV substation in Jabrayil and the Yeni Sangachal substation. These facilities are expected to support the integration of renewable electricity into the national grid and supply industrial consumers, including the Sangachal Terminal.
Renewable energy development is also expanding across regions outside the capital. Solar and hydropower projects are being developed in areas including Jabrayil, Zangilan and Kalbajar, while renewable energy projects in Nakhchivan are also progressing. International companies are participating in this expansion, with the United Arab Emirates-based Masdar working with SOCAR Green on large-scale solar and wind projects with combined capacity exceeding 1.2 GW.
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