Tuesday, 02 January 2024 12:17 GMT

Baku Energy Week: Azerbaijan Integrates Central Asia's Potential Into Europe's Energy Security


(MENAFN- Trend News Agency) BAKU, Azerbaijan, June 1. Central Asia is transforming the Caspian into an energy bridge, opening a direct path to the European market via Azerbaijan.

From June 1 to 3, Baku will once again become a key platform for discussing the future of regional energy within the framework of Baku Energy Week. The event combines the 31st Caspian Oil & Gas International Exhibition, the 14th Caspian Power International Exhibition for Clean Energy, and the 31st Baku Energy Forum. The forum has long expanded beyond the traditional oil and gas agenda, serving as a practical platform to discuss specific integration mechanisms for Central Asia, the South Caucasus, and Europe through energy transit, green generation, and new infrastructure projects.

For Central Asia, this is a matter of both energy transformation and the diversification of export routes. Kazakhstan, Uzbekistan, and Turkmenistan possess significant potential in solar and wind energy; however, tapping into external markets requires a reliable transit route. Azerbaijan already acts as a connecting hub due to the existing infrastructure of the Southern Gas Corridor, its geographical location, and extensive experience working with international energy companies.

The central project remains the Trans-Caspian Green Energy Corridor. The joint venture for the Green Corridor Union, established by Azerbaijan, Kazakhstan, and Uzbekistan, is already working on the project's feasibility study with support from the Asian Development Bank and the Asian Infrastructure Investment Bank. The completion of this study is expected in 2026–2027.

The project outlines the deployment of a subsea cable across the Caspian Sea with an initial transmission capacity of around 4 gigawatts starting from 2032, expanding to 6 gigawatts in later stages. By 2030, the integration of up to 5 gigawatts of renewable energy capacity is expected. This is no longer just a political declaration, but an infrastructure initiative backed by concrete financial and institutional support.

Economic indicators confirm the accelerating pace of this integration. During the first nine months of 2025, Azerbaijan's trade turnover with Central Asian countries grew by 58%, exceeding $1 billion. Kazakhstan accounted for approximately $600 million of this total, marking an increase of $224.5 million compared to the previous year. Trade with Uzbekistan reached $472.5 million. The long-term goal is to scale up mutual trade turnover in the "Central Asia plus Azerbaijan" format to $20 billion.

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