Saudi Arabia’s ACWA Power has signed three implementation agreements with Azerbaijan’s Ministry of Energy and a cooperation agreement with the State Oil Company of the Azerbaijan Republic (SOCAR) for the development of new renewable projects in the country.
The agreements signed comprise the development by ACWA Power of 1.5 GW of offshore wind and 1 GW of onshore wind, as well as the development of a battery energy storage system (BESS) and the development of green hydrogen in the country. The agreements are aimed at enhancing Azerbaijan’s national electricity grid by integrating additional renewable energy sources, as well as positioning the country to broaden its export market.
ACWA Power is currently developing a 240 MW wind project in Azerbaijan, which is expected to produce around 1 TWh/year of electricity. The power plant is expected to save about 220 mcm of natural gas and reduce carbon emissions by more than 400 kt/year upon completion.