Baku Energy Week augurs Azerbaijan's growing potential in energy industry

The first day of Baku Energy Week, which is held every year in Azerbaijan, was remembered with special and remarkable additions this year. Besides, this international event, which gathers world leaders, distinguished guests, businessmen, and well-known figures from around the world, attracted attention with its splendor and deep discussions.

Azerbaijan has been a champion country in the global energy market for thirty years. Also, the growing influence of the country has made it a reliable partner of both its eastern and western allies. This is what was emphasised in this year's event held in a larger format.

Thus, Baku Energy Week, the important event in the region's energy field that kicked off yesterday in Baku, comprised the 29th International Caspian Oil & Gas Exhibition, the 12th Caspian International Power and Green Energy Exhibition, and the 29th Baku Energy Forum.

Baku, once discovered by the Nobel brothers as a rich source of energy, has been known worldwide for its oil and gas resources for more than one hundred and fifty years. Baku oil, which provided fuel for the armored tanks of the Soviet Union, went abroad until the period when Azerbaijan regained its independence, but its importance did not resonate with the world at the level it is today. Finally, the coming to power of the National Leader, the founder of modern Azerbaijan, Heydar Aliyev, brought back the glory of Baku. Today, the Caspian Oil and Gas Exhibition, which takes place within the Baku Energy Week, is already celebrating its 30th anniversary. This event is the same age as the Contract of the Century signed by the Great Leader thirty years ago introducing Azerbaijan to the world.

Three decades ago, Azerbaijan obviously could not organize global events like today. There are various reasons for this, and one of the main reasons was the occupation of the territories of Azerbaijan, which had just regained its independence, and the violation of its sovereign rights. In addition to being under siege, Azerbaijan was also dealing with the problems of more than one million refugees and IDPs. Expansion of the country's energy sector was necessary and time was needed for this.

In October 1993, the election of national leader Heydar Aliyev as the president of independent Azerbaijan opened a new chapter in Azerbaijan’s history. This period not only increased the reputation of the country in the energy sector but also stimulated the attraction of new investments. Although Azerbaijan is known as a region of conflict from a geopolitical point of view, it could not prevent this country from becoming a pivotal point of investors. A visionary policy, professionalism, and a delicate approach to every issue were the main elements of the successful policy leading the country to progress.

Azerbaijan, suffering from the conflict, was able to successfully pass this difficult test. President Ilham Aliyev mentioned the successful steps taken during his speech at the opening of the Baku Energy Week.

"So, that's how it started. In just three years' time, oil was produced from the Chirag Platform, which was a remarkable, record event in the history of the oil business. From signing the contract to production, only three years, and then, two pipelines were commissioned, both towards the Black Sea ports. By 1999 both of them were operational. Then, the major oil export pipeline from Baku to Ceyhan, spanning more than 1700 kilometers in a very difficult terrain, with the strong cooperation between regional countries and companies was commissioned," the President emphasized.

As the head of state noted, all this hard work paid off in a short time, and Azerbaijan not only revived its economy but also became the most reliable partner in the world.

Azerbaijan’s successful energy transition: diversifying the economy through reducing dependence on oil & gas

The realities that emerged against the backdrop of the Second Garabagh War and the issue of the Global Warming necessitated the discovery of new opportunities for Azerbaijan. Of course, we are talking about Azerbaijan's geographical opportunities in the field of Green Energy. The liberation of the occupied territories of Azerbaijan led to the emergence of these opportunities in a short period of time, and today Azerbaijan is one of the leaders in the global challenges related to renewable energy.

Speaking at the Baku Energy Week, President Ilham Aliyev touched on the achievements of Azerbaijan in recent days within the framework of large-scale projects. He spoke about the project jointly implemented by Azerbaijan with MASDAR, a well-known company in the field of green energy of the UAE, as well as the opportunities of green energy in Garabagh.

“Masdar already inaugurated a 230-megawatt solar power station last October, and now one gigawatt.

Now, two more projects are in the pipeline - with one currently under construction, and another one set to start construction soon, bringing the renewable potential of Azerbaijan close to two gigawatts, only from solar and wind. If we add what we are doing with hydropower stations now in Karabakh and East Zangazur, we will see that our target to have two gigawatts of renewables by the end of 2027 is absolutely realistic. This is only the beginning,” the President stressed.

President Ilham Aliyev emphasized that Garabagh and Eastern Zangazur have greater opportunities related to energy resources and also noted the prospects expected in the next five years.

“In the liberated areas of Karabakh and East Zangazur, we have a huge hydropower potential. Since the territory was liberated in November 2020, we have already inaugurated hydropower stations with a total capacity of 270 megawatts. Within three to five years, this figure will reach 500 megawatts. So, one gigawatt of renewables will save us roughly half a billion cubic meters of natural gas, which the market needs and will need,” he underlined.

Certainly, Azerbaijan's hosting of COP29 in November of this year is not a coincidence. Great achievements bring great events and investment opportunities to the country. Being worthy of it is not a simple and easy process as it seems. Azerbaijan's long and experience-rich path in the last thirty years indicates a successful economic future. In this regard, the Baku Energy Week held in Azerbaijan expresses the growing potential of Azerbaijan in the energy industry.