BAKU, Azerbaijan, September 7. Integration of 2
GW of green energy into the grid in Azerbaijan requires new
solutions, General Director of SOCAR Green, Elmir Musayev, said
during a discussion within the framework of the Baku Climate Action
Week 2026 (BCAW 2026), Trend's correspondent reports from the event.


Musayev explained that the expansion of renewable energy
projects in Azerbaijan will create an additional burden on the
electricity grid, and new technological solutions and partnerships
are needed to reduce this burden.


According to him, the first projects of SOCAR Green in
Azerbaijan were implemented with the participation of the European
Bank for Reconstruction and Development (EBRD), the Asian
Infrastructure Investment Bank (AIIB) and the Asian Development
Bank (ADB), which are not part of the World Bank Group, but are
international development finance institutions.


"This was the first wave of projects in Azerbaijan, and there
were many uncertainties. However, in this regard, those projects
became very valuable experience and know-how for us, because they
were quite difficult," said Musayev.


The General Director also made a special mention of the Jabrayil
Solar Power Plant - Shafag project, in which SOCAR Green is an
active investor. According to him, one of the main features of the
project, developed by Lightsource bp, a wholly owned subsidiary of
bp, is the implementation of the virtual power purchase agreement
(VPPA) mechanism.


"The advantage of this project is that it not only produces
renewable and clean energy, but also serves the decarbonization of
oil and gas facilities. The Sangachal terminal is the main energy
recipient of this project," Musayev said.


He noted that this mechanism, which was applied for the first
time in Azerbaijan, has created new opportunities for future
projects.


"This was a new solution in Azerbaijan and, I would say, as the
first such project, it paved the way for us to consider further
projects within the framework of the same mechanism," the company's
head emphasized.


According to Musayev, SOCAR Green later signed a framework
agreement on cooperation and partnership with the State Water
Resources Agency, the largest electricity consumer in
Azerbaijan.


"The mechanism that we agreed on within the framework of the
decarbonization of their facilities is based on the repetition of
the VPPA model. This is a very good mechanism for
business-to-business (B2B) solutions in Azerbaijan," he pointed
out.


The company's chief said that the company's technological
innovations are more related to the introduction of existing
technologies to Azerbaijan than to the production of new equipment.
In this context, Musayev emphasized that in complex conditions,
more unique solutions are needed.


"We aren't a manufacturing company. Therefore, our technological
innovation will be related to supporting the introduction of these
technologies to Azerbaijan rather than developing new technologies
to increase the efficiency of wind turbines or solar panels," he
said.


Musayev noted that Azerbaijan is already leaving behind the
stage of "easy results" in the development of renewable energy.


"We started with easy results. The volume of intermittent energy
production in Azerbaijan was very low, and the grid was not under
serious pressure at that stage. Therefore, it was easier to get
approval for the first projects," he said.


According to him, the integration of 2 GW of renewable energy
into the system by 2027 will create additional pressure on the
electricity grid at the next stage.


"Now the next stage will bring additional load to the network.
The government, the Ministry of Energy, and Azerenergy are already
conducting studies with consultants on how to optimize and
modernize the network," Musayev said.


He added that the goal of companies should also be to minimize
the load on the network.







"At the level of companies, we must reduce this load so that the
process is not so difficult for them. Without partnerships, it will
be difficult to develop such solutions. The main thing we are
trying to do in Azerbaijan is the exchange of knowledge,
technology, and ideas," the CEO of SOCAR Green emphasized.


Musayev said that the company is cooperating with American,
Chinese, and Middle Eastern companies in this direction.


He mentioned Masdar's project for uninterrupted power supply
(RTC) in Uzbekistan as an example, as well as ACWA Power's off-grid
RTC project in the Red Sea.


"Companies are implementing these projects. Why not cooperate
with them and find the optimal solution for Azerbaijan? How can we
minimize or even eliminate the load on the network?" Musayev
said.


The Director General noted that they are also studying the
prospects of new technologies such as green hydrogen for
Azerbaijan.


"We have conducted a lot of analysis on green hydrogen together
with our partners; we see and understand the difficulties. The next
step is not to simply abandon this issue, but to think about how we
can solve the problems. Perhaps the derivatives of green hydrogen
will be a more favorable option for Azerbaijan," he noted.


Musayev also indicated geothermal energy as one of the
directions that can be developed in Azerbaijan.


"Azerbaijan has never been a country of geothermal energy.
However, this doesn't mean that it's impossible in Azerbaijan. For
this, it is necessary to determine the right approach. We don't
have experience in this area in Azerbaijan, because there has been
no need for it so far. Therefore, we need to cooperate with leading
companies," he emphasized.


According to Musayev, cooperation should not be limited only to
investors and technology companies.


"It's not enough to partner with other investors or technology
providers. It's also important to build partnerships with
international financial institutions that advise governments and
work with many countries," he said.


The company's head also noted the importance of cooperation with
other platforms. According to him, SOCAR Green has established good
relations with SETClean and plans to provide mutual support.


The fourth Climate Week (CW4) of the UN Framework Convention on
Climate Change is being held in Baku through September 11, hosted
by the Republic of Azerbaijan and organized by the Azerbaijani
Ministry of Foreign Affairs.


Baku, which has become an important international platform for
the climate agenda, is hosting discussions on the practical
implementation of climate decisions, the expansion of international
cooperation, and further strengthening global climate action ahead
of COP31.


Representatives of governments and international organizations,
experts, financial institutions, the private sector, and civil
society from various countries are expected to attend the
events.


Baku Climate Week is designed as an international platform for
discussions on combating climate change, the energy transition,
renewable energy, sustainable development, and accelerating climate
action.


The events will further strengthen Baku’s active role in the
global climate agenda and make an important contribution to
strengthening international climate cooperation ahead of COP31.