Azerbaijan's Green Initiative: COP29 As Catalyst For Sustainable Investment


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Nazrin Abdul Read more

Today, Azerbaijan has formulated a new strategy that aligns withnational interests, encompassing a competitive economy, socialjustice, and innovation. Among these priorities, emphasis is placedon achieving a clean environment and promoting 'green development.'Harmonizing national environmental policies with international bestpractices is crucial in this endeavor. Azerbaijan's hosting of the29th session of the Conference of the Parties to the UN FrameworkConvention on Climate Change (COP29) in November furtherunderscores this commitment.

Considerable attention is devoted to environmental protection inAzerbaijan. President's decree declaring 2024 as the 'Year ofSolidarity for the Green World' signifies a continuation of thetransition to a green economy strategy. COP29 offers an opportunityfor Azerbaijan to glean insights and strategies to mitigateenvironmental impact while integrating best practices for climatechange adaptation.

Although the focus of COP29 is environmental issues, its broadscope and relevance also carry significant economic implications the long term, hosting COP29 may bolster Azerbaijan's transitionto a green economy and attract foreign investments.

In its efforts to mitigate the adverse effects of global climatechange and transition to clean energy sources, Azerbaijan hasinitiated investments in green energy projects in collaborationwith foreign investors. The role of COP29 in Azerbaijan as aplatform for attracting long-term investments and fosteringadvancements in the field of green energy cannot be overstated.

So, what role can the holding of COP29 in Azerbaijan play inattracting long-term investments and as a platform in the field of"green energy"?

In his comment to Azernews on the issue, VugarBayramov, Azerbaijani MP and economist emphasized the significanceof the COP29 event in showcasing Azerbaijan's economicpotential.

"COP29 is considered the largest event in the world in terms ofparticipant numbers. Considering that the leaders of most countrieswill participate in the COP29 event, it will also serve as aplatform for presenting the potential of Azerbaijan and theAzerbaijani economy."

Vugar Bayramov highlighted the significant role COP29 inAzerbaijan could play in attracting investments to the non-oilsector.

"Of course, the hosting of this event will enable attractinginvestments, and particularly, it will provide an opportunity for acloser presentation of our economic potential to investors, such events create opportunities for attractinginvestment in the non-oil sector and encourage increased investmentin sectors beyond energy."

Currently, presenting projects related to green energy beingimplemented in Azerbaijan at this event dedicated to climate change(COP29) can facilitate attracting more investments to green energyprojects in Azerbaijan, as stated by the expert.

"Additionally, Azerbaijan is already implementing many projectsrelated to green energy. By showcasing its potential in this field,Azerbaijan will create an opportunity to attract more investmentsto green energy projects by presenting activities and implementingprograms in this direction. Azerbaijan has already collaboratedwith several leading companies. COP29 can provide an opportunity tostrengthen these collaborations and attract more foreign investmentin green energy projects."

It should be noted that the most significant event in terms offoreign investments in renewable energy resources was thecommissioning of the 230 MW Garadagh Solar Power Plant (GES) withthe participation of the President of Azerbaijan. That GES is thefirst industrial-scale solar power plant in the Caspian Sea region, the project of the station is implemented with theprestigious "Masdar" company of the United Arab Emirates.

Continuing this trend, works on the construction of the 240 MWKhizi-Absheron wind power station (KES) project are currentlyongoing, and works on the 240 MW Shafaq GES project in Jabrayildistrict will commence from the second half of the currentyear.

Additionally, "Masdar" company continues to implement 315 MWsolar power plants in Neftchala, 445 MW in Bilasuvar, and 240 MWwind power plant projects in the Absheron-Garadagh regions. In thisregard, the territories of renewable energy sources were determinedin Bilasuvar, Neftchala, and Absheron-Garadagh regions by therelevant decisions of the Cabinet of Ministers. Also, it is plannedto hold the first auction for the 100 MW solar power plant projectin the Gobustan region.

In conclusion, the hosting of COP29 in Azerbaijan emerges as apivotal opportunity to showcase the nation's economic potential andattract long-term investments, particularly in the realm of greenenergy. The event's global significance, with the participation ofleaders from around the world, underscores its role as a platformfor highlighting Azerbaijan's capabilities and fosteringcollaboration in sustainable development initiatives.

As Azerbaijan continues to prioritize green energy projects andimplement measures to mitigate climate change, COP29 serves as acatalyst for advancing these efforts and positioning the country asa key player in the global transition to renewable energy. Withongoing projects and strategic initiatives in place, Azerbaijanstands poised to harness its favorable geostrategic position andnatural resources to drive sustainable development and address thechallenges of climate change in the region and beyond.

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