SOCAR Green now owns a renewable energy project portfolio with a capacity of 1.4 gigawatts, said Elmir Musayev, the Director of SOCAR Green, a subsidiary of the State Oil Company of Azerbaijan (SOCAR), Report informs.
Musayev made the remark at the event titled "Beyond Production: Building Infrastructure to Meet Energy Transition Goals" held as part of COP29.
He highlighted that SOCAR is on the verge of transforming into a national energy company. "Many companies are currently undergoing significant changes to transition from traditional oil and gas activities to becoming global or national energy companies," he stated. "SOCAR is at the threshold of these changes."
According to the director, SOCAR's name has been synonymous with oil and gas. However, the company is now taking decisive steps towards becoming a national energy company and has already launched several decarbonization initiatives. The hosting of COP29 in Baku is part of these transformative efforts. "Participants at COP28 last year had the opportunity to learn about SOCAR's ambitious decarbonization targets, which include zero routine flaring across all operational assets by 2030, achieving zero methane emissions in the upstream segment by 2035, and significantly reducing carbon emission intensity by 2030," Musayev added.
The director noted that SOCAR aims to reduce its corporate emissions by 30% compared to the 2022 baseline and decrease overall emissions by 20% by 2035. The long-term goal is to reach net-zero carbon levels by 2050.
Musayev further noted that SOCAR Green's mandate is not limited to only solar and wind energy projects. "We are making serious efforts to study the efficiency of carbon capture, utilization, and storage (CCUS), green hydrogen production, and other emerging technologies. As part of these projects, we are reviewing SOCAR's infrastructure and adapting it to green initiatives," he explained.
The official emphasized that SOCAR collaborates with BP under the Climate and Sustainability Lighthouse program, which supports the decarbonization of SOCAR's assets. “The company manages these initiatives through a newly created Energy Transition and Environment segment. In December 2023, SOCAR's Supervisory Board decided to establish a dedicated entity to advance green initiatives, and in March 2024, SOCAR Green officially commenced operations.”
Musayev stressed that SOCAR Green's goal is not only to achieve SOCAR's decarbonization targets but also to contribute to the country's energy transition objectives. "In less than two years, we already have a renewable energy project portfolio with a capacity of 1.4 gigawatts. For example, we are collaborating with Total on the one-gigawatt 'Mega' project. Additionally, we are implementing a photovoltaic project with BP to decarbonize the oil and gas terminal located in Baku. SOCAR is also working on solar energy projects with Chinese partners, totaling 160 megawatts," he detailed.
He also pointed out that "SOCAR Green" understands these major changes and accepts the challenges ahead: "However, we believe we are ready for these changes and aim to play a major role in the energy transition."
The director further mentioned that SOCAR Green closely monitors larger-scale projects in the region, such as the approximately five-gigawatt green energy corridors intended for export to the European market, the Black Sea submarine cable, and the Caspian-Black Sea-Europe energy corridor projects.