Expansion of use of renewable energy sources carried out in 1st half of 2019


July 5, Fineko/abc.az. DNV-GL (Norway/Germany) has developed a primary version of the Bill on Renewable & Alternative Energy Sources and submitted the draft law for consideration of the Ministry of Energy of Azerbaijan.

"DNV-GL also prepared and presented to the Ministry the Framework Plan on Renewable Energy, the General Concept and a report on the current status of legislative acts and international experience.

In the 1st half of 2019 the Company signed eight memorandums of cooperation with foreign companies in the field of renewable energy - BP, Masdar, Avelar Solar, Tekfen, Total, Equinor, Akwa Power, and Mitsui Co.

In addition, an agreement was reached with the European Bank for Reconstruction & Development (EBRD) on financing for the preparation of feasibility studies for wind and solar energy development projects, the preparation of legislation to determine the mechanisms for holding auctions on renewable energy sources and the preparation of their design.

DNV-GL is Energy Ministry’s consultant in drafting the Bill on Renewable & Alternative Energy Sources.

In the medium-term period it is planned to build 420 MW renewable energy generating capacity in Azerbaijan. The main focus will be on solar energy, wind energy and biological stations.

The Ministry has applied to the Cabinet Ministers for a number of permits in order to launch pilot project "Technical support & knowledge exchange on the development of floating solar panel system".

In particular, the appeals relate to allotment of land, use of water surface, and other permits and opinions envisaged by law.

The Energy Ministry with the support of the Asian Development Bank (ADB) plans to implement a pilot project called "Technical support & knowledge sharing for development of floating solar panels". Speech is about creation a system of three photovoltaic panels with capacity of 100 kW each on the Boyuk-Shor Lake.

The project also includes the creation of business models to encourage private sector participation in the installation of solar panels, the strengthening of national capacity in this area and the application of modern norms and principles.

ADB’s representatives visited Baku last November and familiarized themselves with the location of the project. The Project Steering Committee with the participation of reps of relevant organizations has been established. Completion of the project is scheduled for March 2021.

“SNC-Lavalin's Atkins started implementation the project on assessment of efficiency of functioning of small hydropower plants (HPPs) in Azerbaijan.

SNC-Lavalin's Atkins gathered the necessary information and organized trips to the locations of small hydropower plants. On the basis of the data obtained, an appropriate analysis will be prepared," the Ministry says in a statement.

In October 2018 the Ministry of Energy and BP signed a Letter of Intent on improvement of electricity generation by small hydropower plants. The document says about BP's support to the Ministry in this matter.

According to the Letter, consulting company SNC-Lavalin's Atkins will assess the work of some small hydropower plants existing in districts of Azerbaijan and give its recommendations on ways to increase the efficiency of their activities. International experts will also travel to sites of hydropower plants with the purpose to carry out those works and assess possible areas for the construction of new hydropower plants.

The Energy Ministry does not specify in what form BP will support this project, reporting only that BP’s social investments in Azerbaijan has so far exceeded $80 million.

Currently, Azerbaijan is numbering 10 small hydroelectric power plants with capacity of 23.5 MW in Azerbaijan. Another 12 small hydropower plants with capacity of 27.41 MW are under construction.