Nobel Energy, the power arm of international group NEQSOL Holding, has signed a memorandum of understanding with Azerbaijan to develop a 400MW solar project in the western enclave of Nakhchivan.

"This development follows our transformation strategy to be part of the solution to help all our stakeholders gain access to affordable and reliable energy while reducing our environmental impact," said Vugar Samadli, CEO of Nobel Energy, referring to the need to transition the country's industry away from fossil fuels. This reflects our shared commitment with the government to harness the potential of renewable energy to drive economic growth and sustainable development.

According to the International Energy Agency, oil and gas sales account for 90 percent of the country's export revenue and provide 98 percent of its primary electricity, factors that have prompted the Azerbaijani government to look for ways to decarbonize its industry.

However, according to our Data World, Azerbaijan's total energy consumption has declined significantly in recent decades, from a peak of 261TWh in 1990 to 183TWh in 2021. The government may see this as an opportunity to invest in large-scale renewable energy at a time when total energy demand is low, as changes in Azerbaijan's energy mix may be more disruptive than in previous years.

The news comes on the heels of other clean energy commitments in Azerbaijan, including a newly built 312MW project in Baku and an agreement signed by the government with Total Energy to build 650MW of wind and solar projects. These facilities will also be built in the Nakhchivan enclave, which is located outside the borders of Azerbaijan, and could help the region improve its energy security.

We look forward to the next step in our journey, which aims to promote sustainable development, create new opportunities and make a lasting positive impact, "Samadli added. The future holds great potential, and we are eager to embark on this path of change.Editor/XingWentao