BAKU, Azerbaijan, October 24. The
“Caspian–Black Sea–Europe Green Energy Corridor” project could
create attractive opportunities for financial investors based on a
model that ensures commercial viability and long-term economic
results.


This was stated by Head of the European Bank for Reconstruction
and Development (EBRD) Resident Office in Azerbaijan, Nataly
Mouravidze, in a video posted on the Ministry of Energy’s social
media accounts, in which she shared her views on the forum “Green
Energy Corridor: From Feasibility Study to Implementation.”


She noted that the project’s commercial viability and long-term
economic sustainability are key conditions for ensuring its
financial attractiveness.


“This project can indeed be very attractive to financial
investors. For this to happen, it is important that the project be
commercially viable. It must deliver long-term and sustainable
economic results. And most importantly, this project makes it
possible to supply significant volumes of renewable ‘green’ energy
to the region and integrate it into European markets,” Mouravidze
stated.


The head of the EBRD’s office in Azerbaijan emphasized that
cooperation between the private sector and international financial
institutions is of particular importance for the successful
implementation of the project.


“As for cooperation between the private sector and financial
institutions, I believe that the project can only be implemented
through the joint efforts of all parties. To achieve this, we must
combine the financial resources of these institutions with the
experience and expertise of the private sector. In this way, we
will be able to bring all stakeholders together under a single
project and ensure its joint financing,” she noted.


Meanwhile, at a forum held in Baku, the results of the
feasibility study for the “Caspian–Black Sea–Europe Green Energy
Corridor” project were presented for the first time to
international investors, financial institutions, and business
partners. During the event, the investment attractiveness of the
project, its business model, financing opportunities, and the
establishment of new partnerships were discussed. In addition,
special attention was paid to accelerating preparations for the
final investment decision in 2029.


The forum was attended by representatives of government agencies
from Azerbaijan and partner countries, the European Union,
international financial institutions, investment funds, energy
companies, electricity buyers, power transmission system operators,
cable manufacturers, technology providers, engineering firms, and
insurance companies.


Representatives of the World Bank, the European Investment Bank,
the European Bank for Reconstruction and Development (EBRD), the
Asian Development Bank, the Black Sea Trade and Development Bank,
the Islamic Development Bank, Brookfield Asset Management, ACWA
Power, Masdar, SOCAR Green, China Datang, State Grid Corporation of
China, PowerChina, Siemens Energy, ABB, Hitachi Energy,
TotalEnergies, Prysmian, NKT, Orient Cable, and other international
companies were also represented at the event.


Speaking at the forum’s opening ceremony, Energy Minister Parviz
Shahbazov emphasized the project’s strategic importance in terms of
strengthening regional energy security, diversifying energy
supplies, and the “green” transition.







In addition, it was noted that the feasibility study for the
project—the foundation for which was laid in 2022 in Bucharest with
a strategic partnership agreement between Azerbaijan, Georgia,
Romania, and Hungary—was completed in July of this year and
confirmed its technical feasibility and economic viability. The
minister stated that the project holds a special place in
Azerbaijan’s strategy to become a regional hub for the production,
transmission, and export of “green” energy.


Attention was drawn to the fact that, during the recent visit of
European Commission President Ursula von der Leyen to Baku,
political support for the project was once again expressed. It was
also noted that ongoing efforts to include the project in the
Trans-European Network Development Plan (TYNDP) 2026 and to secure
“Project of Mutual Interest” (PMI) status are strengthening its
investment prospects.


Meanwhile, the “Green Energy Corridor,” which is approximately
3,000 kilometers long, is scheduled to be commissioned in phases
starting in 2032, with a transmission capacity of 4 GW. According
to the feasibility study, the project could create conditions for
developing at least 8 GW of renewable energy generation capacity in
the region, transmitting approximately 20 billion kilowatt-hours of
electricity to Europe annually starting in 2040, and reducing
carbon emissions by up to 3.6 million metric tons.


Given the technical complexity of the project, the importance of
using cutting-edge technological solutions for laying submarine
power cables at depths of up to 2,200 meters in the Black Sea was
emphasized.


In addition, it was noted that, to ensure the project’s
commercial viability, a hybrid business model combining regulated
and commercial components is being considered. This model is
expected to be based on long-term power purchase agreements,
private capital investment, and the development of cross-border
electricity trade.


The Minister of Energy stated that the participation of
international financial institutions and private investors, a
reliable business model, and long-term commercial agreements are
key conditions for preparing to make a final investment
decision.


“Our goal is to transform the ‘Green Energy Corridor’ into a
regional infrastructure project with a clear business model, a
sustainable financial structure, and attractive conditions for
investors. Azerbaijan’s strategic location, extensive experience in
international energy projects, and strong relationships with
partner countries provide a solid foundation for achieving this
goal. We believe that today’s forum will make an important
contribution to establishing new partnerships, identifying concrete
investment opportunities, and bringing the ‘Green Energy Corridor’
even closer to the final investment decision scheduled for 2029,”
Shahbazov said.


At the conclusion of the forum, further steps were agreed upon
as part of the preparations for developing a partnership roadmap
and making a final investment decision (FID) on the “Green Energy
Corridor” project.