Arab News, Tue, Apr 23, 2024 | Shawwal 14, 1445
ACWA Power inks deal to drive renewable energy development in Azerbaijan
Saudi Arabia:
Saudi energy giant ACWA Power is signing a new agreement to accelerate the
development of renewable projects in Azerbaijan.
The private water desalination company, known for
its extensive green hydrogen storage capacity, announced it has now finalized an
agreement with SOCAR, the State Oil Company of the Azerbaijan Republic.
This development follows an initial cooperation
understanding signed in February 2023.
This deal focuses on the joint evaluation of the
“Low-Carbon/Green Fertilizer” project, in which the two bodies will collaborate
on assessing the production of green hydrogen to support the decarbonization of
SOCAR downstream assets.
Marco Arcelli, CEO of ACWA Power, said in a
statement, “I am proud to announce our collaboration with SOCAR to ignite a new
era of renewable energy development in Azerbaijan. With our shared vision and
commitment to sustainability, this partnership will not only drive innovation
but also pave the way for a cleaner and brighter future for this country.”
The primary directive of the agreement will be to
enhance SOCAR’s carbamide fertilizer facility, striving toward more value-added
low-carbon products.
As part of the project, SOCAR and ACWA Power will
conduct feasibility studies to assess the potential production and sale of green
fertilizers, aligning with Azerbaijan’s vision of achieving a clean environment.
ACWA Power will take a role in driving the
project’s renewable energy and green hydrogen production aspects, bringing their
expertise to bear on this initiative.
For his part, Anar Mammadov, vice president of
SOCAR, said, “Azerbaijan is committed to building a sustainable future, and our
partnership with ACWA Power underscores our shared dedication to driving
renewable energy development in the region. Together, we will work towards
realizing our vision of a cleaner, greener Azerbaijan.”
He added: “The cooperation with ACWA Power
represents a significant step forward in Azerbaijan’s transition towards a
low-carbon economy and underscores the commitment of both organizations to
sustainable development practices.”
Preceding this announcement, the two nations posed
their intent to collaborate on renewables as Saudi Arabia’s Minister of Energy
Prince Abdulaziz bin Salman met with Azerbaijan’s Minister of Environment and
Natural Resources Mukhtar Babayev in March.
During the meeting, the counterparts discussed
opportunities for work and cooperation between their two countries in the field
of climate change.
They also talked about joint efforts to achieve
the goals of the UN Framework Convention on Climate Change and the Paris
Agreement, the Kingdom’s ministry said in a statement at the time.