Assessing National Climate Plans: Azerbaijan's role in energy strategy amid climate change efforts

In recent developments concerning the European Union's energy and climate policies, Kadri Simson, the European Union Energy Commissioner, has raised significant concerns about the progress of national climate plans. During a press conference addressing the state of the "Energy Union 2024," Simson emphasized the urgent need for EU countries to submit their missing Nationally Determined Contributions (NDCs). These plans are crucial for meeting the EU's climate goals and enhancing investor confidence in the transition to a greener energy future. The urgency of this matter underscores the broader context of the EU’s efforts to address its dependence on fossil fuels and to strengthen its renewable energy sector.

"I call on EU countries to submit the missing national energy and climate plans. To date we have only received 10 final plans (there are 27 countries in the EU). We are long past the deadline. These plans are needed to move commitments and build investor confidence." - Samson emphasized.

What is meant by national climate plans?

NDC stands for "Nationally Determined Contributions." It's a term used in the context of the Paris Agreement, an international treaty on climate change. NDCs are essentially the climate action plans that countries submit to outline how they intend to reduce greenhouse gas emissions and adapt to climate change. Each country's NDC reflects its own national circumstances and capabilities, and they are meant to be updated over time to reflect increased ambition as countries progress in their climate goals.

Kadri Simson believes that the European Union still imports large amounts of fossil fuels.

"Europe needs to use clean energy produced and reduce fossil fuel imports, which will ensure EU competitiveness, security of supply and energy sovereignty, and increase economic stability," the European Commissioner noted.

Why is reducing fossil fuel imports important, and what are the key benefits?

Energy security: Dependence on imported fossil fuels can make a country vulnerable to geopolitical tensions, trade disruptions, and price volatility. By reducing imports, countries can enhance their energy security and reduce their reliance on external sources.

Economic stability: Fossil fuel prices can fluctuate significantly, affecting national economies. Reducing imports can help stabilize domestic energy costs and reduce trade deficits associated with fossil fuel purchases.

Environmental impact: Burning fossil fuels contributes to air pollution and greenhouse gas emissions, which drive climate change. Reducing reliance on fossil fuels can help lower emissions, improve air quality, and mitigate the impacts of climate change.

Promoting renewable energy: Investing in and developing renewable energy sources like solar, wind, and hydro can provide a more sustainable and environmentally friendly alternative. Reducing fossil fuel imports can accelerate the transition to cleaner energy sources and drive innovation in green technologies.

Public health: Fossil fuel combustion releases pollutants that can harm human health, contributing to respiratory and cardiovascular diseases. Reducing fossil fuel use can lead to cleaner air and better public health outcomes.

Economic diversification: By focusing on alternative energy sources and technologies, countries can stimulate new industries and create jobs, fostering economic diversification and resilience.

Overall, reducing fossil fuel imports aligns with broader goals of sustainability, energy independence, and economic stability.

Simson said that the EU is ready to achieve its climate neutrality goal and at the same time ensure the competitiveness of the industry.

"In the last 5 years, we have set new and higher goals in the field of renewable energy sources (RES) and energy efficiency. We have reformed energy markets and developed the most advanced hydrogen economy and methane emission reduction concepts. In 2 years, the deployment of REs, In the first half of 2024, wind and solar power reached new records, and for the first time in our balance, electricity from renewables exceeded energy from fossil fuels," Simson said.

He recalled that at the COP28 in Dubai in December, the EU joined the Global Commitment to increase the power of the EU by 3 times and to increase the energy efficiency by 2 times by 2030.

"Green investments have reached a record level through national recovery and resilience plans. By mid-June 2024, 184 billion euros of the 240 billion euros allocated under national recovery and resilience plans have been spent on energy-related reforms and investments," Simson noted.

According to him, a lot of work has been done within the mandate to lower electricity prices in the EU in 2022, but now we have to deal with structural problems.

"The main way is to speed up the implementation of PES. In 2024, we observe that the pace of PES deployment has not increased as much as expected. We need an additional strong incentive to reach the targets set by 2030," Simson added.

It should be noted that the countries of the world must submit their NDCs on climate measures at least until February 2025.

What does Azerbaijan's national climate policy say?

Azerbaijan has already started the process of transition to "green energy" for a long time. Following the signing of the Paris Agreement on climate change, the country aims to reduce greenhouse gas emissions by 35% by 2030 and 40% by 2050. Also, the development of renewable energy sources has become the main part of Azerbaijan's clean energy strategy.

It should be noted that 9 solar and wind power plants will be commissioned by the end of 2027. Their energy potential is equal to 2 gigawatts. By 2030, 10 additional wind and solar power plants will be built, the potential of which is up to 5 gigawatts. Azerbaijan is set to host the 29th session of the Conference of the Parties to the Framework Convention on Climate Change (COP29) this November. A key topic on the agenda will be climate finance, highlighting the critical role of funding in addressing climate change challenges.

In order to ensure energy efficiency in Azerbaijan, important measures are taken in parallel in both the production and consumption sectors.

As an example of measures in the production sector, the construction of new power plants that meet modern requirements, modernization of existing plants, reconstruction works in the field of oil refining, reduction of losses in the energy system, and the work carried out in the direction of bringing the specific consumption of power plants to modern standards can be mentioned.

An important part of the measures implemented in the consumer sector is the expansion of propaganda in order to educate the population and involve consumers in energy efficiency measures. The main part of ensuring efficiency in consumption is the use of devices and equipment that efficiently use energy resources, compliance with energy efficiency norms in construction and repair work, expansion of the application of modern standards, compliance with efficiency norms and rules.

In summary, the push for completing and updating national climate plans reflects the EU's broader strategy to achieve climate neutrality and energy independence. Kadri Simson's call for action highlights the importance of these plans in fulfilling international climate commitments and reinforcing the EU's energy security and economic stability.

Meanwhile, Azerbaijan's commitment to reducing greenhouse gas emissions and expanding its renewable energy infrastructure demonstrates a regional effort to contribute to global climate goals. As countries work towards their climate targets, the focus on reducing fossil fuel imports and advancing renewable energy remains pivotal in addressing both environmental and economic challenges.