Azerbaijan has great potential for renewable energy because it’s known for having relatively strong and reliable wind and enjoys a lot of sunshine, Matthew Bryza, a senior fellow at the Atlantic Council, former US Ambassador to Azerbaijan, and international expert, told Report.
“So, it’s a great location for both wind and solar power. The liberated territories of Azerbaijan have strong wind and a lot of sun just like the rest of Azerbaijan. The stronger wind is however near the Caspian Sea’s coast, especially in Absheron – these are primary areas for wind power rather than Karabakh, which in its turn together with Eastern Zangazur have a lot of sun. There’s also water hydropower in Karabakh,” he said.
“In terms of profitability, if the government of Azerbaijan is going to provide the subsidies in the liberated territories for renewable energy, then it may become a very attractive investment opportunity. International companies can be involved in such investments if the government of Azerbaijan finds their investments financially attractive. The government of Azerbaijan is just developing that sort of policy.”
He mentioned wise Azerbaijani policy to invest in alternative sources of energy because by doing so Azerbaijan can export more natural gas or diesel fuel.
“Europe definitely needs more natural gas from Azerbaijan and we have seen the EU high level [representatives] visiting Baku in order to attract more natural gas from Azerbaijan in the context of the situation in Ukraine. If we even leave aside the situation in Ukraine and just look at the energy transition, I believe natural gas will remain absolutely essential to achieving that transition because it’s 4 times cleaner than coal,” Bryza noted.
In Europe and the US there’s a strong push to end investment not only on coal but also on natural gas hydropower plants, he said.
“Renewable energy has become a very big priority for example for the government of Turkey, where it has offered the financial incentives for wind and solar power, as well as geothermal energy. While in terms of hydropower, the government of Turkey has invested itself massively during the course of the last decades in the dams for hydropower,” he said, adding that this is so-called GAP (Southeastern Anatolia Project).