The Government of Azerbaijan, through the state-owned enterprise for electricity power generation and transmission Azerenerji, has planned for grid readiness for the integration of 1 GW of solar and wind energy by 2027, according to a review of the World Bank (WB) on the project of expanding the use of renewable energy sources in Azerbaijan (AZURE), Report informs.
First, integration of the Banka (315 MWac) and Bilasuvar (445 MWac) SPPs (totalling 760 MWac) to the grid will take place by April 2026, followed by grid-connection of 240 MW Absheron WPP by October 2026 with parallel reinforcement works of 500 kV and 330 kV network.
The project is jointly financed by the World Bank and the government of Azerbaijan, and its total cost is estimated at $294.5 million. The project is expected to be approved by the WB Board of Directors on October 31.
The Project will consist of approximately 555 km OHLs that extend from the Bilasuvar district and Banka town of Azerbaijan to the Navahi town while further extending to the Mingachevir and Absheron districts and the associated 500/330/10 kV Navahi substation.
The World Bank will finance the supply and installation of equipment for the 500 kV part of the Navahi (2x 500 MVA) substation, expanding the 500 kV bays at the Absheron substation, Azerbaijan TPP substation, Mingachevir HPP and Gobu PP, and Alat substation.
The World Bank investment will also strengthen the transmission network, improve system operation, and support project implementation and capacity building. The construction works financed by the government and the World Bank will be carried out in parallel, with priority given to the early completion of the 330 kV transmission network.
The Project spans the southern and central parts of Azerbaijan spreading to 11 regions of the country, namely Neftchala, Bilasuvar, Salyan, Hajigabul, Garadagh, Yevlakh, Agdash, Gobustan, Goychay, Ismayilli, and Aghsu, and passing along the M60, Baku-Gazakh Road. The Project will be crossing the rivers of Kura, Girdimanchay, Turyanchay, Goychay and Yukhari Shirvan canal at several points.
The new overhead lines to be built within the framework of the project are aimed at increasing the reliability of the existing network and ensuring stable power supply to the western and northwestern parts of Azerbaijan, as well as export lines to Georgia and Türkiye. The Navahi substation will increase the capacity of electricity transmission from the southern part of Azerbaijan to the western part, including the Alat FEZ, which will further improve the reliability of power supply.