BAKU, Azerbaijan, June 16. Azerbaijan has
notably upgraded its grid infrastructure to integrate green energy,
Country Manager at Masdar in Azerbaijan, Murad Sadikhov, said
during a panel discussion “Powering Azerbaijan’s Green Transition:
Renewable Energy as a Bankable Investment Opportunity” within the
framework of Investment Outlook Session in Baku, Trend‘s correspondent
reports from the event.
He remarked that the attractiveness of Azerbaijan’s renewable
energy and investment environment is increasing due to the strong
institutional and political support formed in the country, as well
as continuous reforms.
According to him, one of the main factors for the implementation
of “green energy” projects in Azerbaijan is the strong political
will of the government and its continuous support for this
area.
“The main factor for the success of investment projects in
Azerbaijan is the attention, commitment, and determination shown by
the government. Of course, resources, legislative framework, and
local capabilities are also important for this, but the main issue
is the state’s commitment to this process,” he said.
Sadikhov noted that Azerbaijan’s strategy of transition to
renewable energy since 2018 was the beginning of a new stage in the
country’s energy sector.
According to him, although the country had extensive experience
in the traditional energy sector during this period, the transition
to green energy required serious institutional and technical
adjustments.
“At the initial stage, both the government and investors had to
make a number of adjustments to the legislative and regulatory
framework. Later, investment promotion documents, changes in tax
legislation, and a special legal framework for renewable energy
were formed,” he noted.
According to the Masdar representative, the adoption of the law
“On the use of renewable energy sources in the production of
electricity” played an important role in making the investment
climate stable and transparent.
He added that network infrastructure is also one of the main
conditions for the success of the energy transition.
“Renewable energy is not limited to generation alone. For its
effective integration, a strong and balanced network system is
needed. Azerbaijan has directed serious investments in this area
and significantly modernized the network infrastructure,” Sadikhov
said.
According to him, one of the important factors in the investment
climate is financial stability. He noted that Azerbaijan has formed
a stable economic environment and predictable rules for investors
for many years.
“The government provides investors with clear and transparent
rules, along with the protection of investments, ensuring the free
repatriation of dividends and income. This makes Azerbaijan a
unique and attractive place for investment,” he emphasized.
Sadikhov added that a few years ago, the United Arab Emirates
assessed Azerbaijan as one of the 50 most attractive investment
destinations by 2050.
He also noted that the human capital and experience formed in
the energy sector in the country facilitate the transition to
renewable energy.
“At the heart of all these processes is the strong commitment of
the government, and we see this clearly in Azerbaijan,” the Masdar
official said.
