Caspian Energy (CE): Masdar has recently opened an office in Baku. What is Masdar and how does this reflect the growth of the renewable energy sector in both Azerbaijan, and internationally?
Murad Sadikhov, Country Manager - Azerbaijan, Masdar: Abu Dhabi Future Energy Company (Masdar) is the UAE’s clean energy champion and one of the largest companies of its kind in the world, advancing the development and deployment of renewable energy and green hydrogen technologies to address global sustainability challenges. Established in 2006, Masdar is today active in over 40 countries, helping to achieve clean energy objectives and advance sustainable development. Masdar is jointly owned by Abu Dhabi National Oil Company (ADNOC), Mubadala Investment Company (Mubadala), and Abu Dhabi National Energy Company (TAQA), and is targeting a renewable energy portfolio capacity of at least 100 gigawatts (GW) by 2030 and an annual green hydrogen production capacity of up to 1 million tonnes by the same year.
We had the honor of opening Masdar’s office in Baku in February this year, an important milestone in strengthening our presence in Azerbaijan and representing the deepening of ties between the country and the UAE. It is a recognition of the country’s increasing focus on renewable energy and its commitment to delivering on the nation’s ambitious clean energy targets. Our office will enable Masdar to work closely with the government and other stakeholders to accelerate the growth of Azerbaijan’s clean energy sector.
Globally, the renewable energy sector is experiencing unprecedented growth – with renewables accounting for more than 80 percent of all additional new power generation capacity in 2022. However, as was made clear at COP27 in Egypt last year, much more needs to be done if a future climate crisis is to be avoided. The development of renewable energy varies significantly from region to region, and country to country. With a track record in commercializing clean energy, Masdar is committed to supporting Azerbaijan and other countries scale up their renewable energy technologies and decarbonize their economies.
CE: Azerbaijan is pursuing a national target of producing 30 percent of its domestic power needs from renewable energy sources by 2030. How is Masdar committed to supporting this vision?
Murad Sadikhov: Azerbaijan has been known as the birthplace of the oil industry since ancient times. The first industrial method of extracting oil was introduced in 1846,
n, including onshore and offshore wind, solar, and green hydrogen. The country’s geographic location on the Caspian Sea, allows for natural resources to be easily leveraged to diversify the nation’s energy portfolio.
International public and private sector investment will play a key part in enabling Azerbaijan to access the capital and technologies required to develop its renewables sector in addition to increase its economic competitiveness. As a leading global energy company, Masdar can support Azerbaijan develop its renewables sector not only through providing finance, but also through sharing extensive technical knowledge through its legacy in delivering innovative clean energy solutions.
CE: There has been a lot of Masdar activity in Azerbaijan recently. Could you please provide an overview of the various Masdar projects currently underway in Azerbaijan?
Murad Sadikhov: Masdar has a number of exciting projects planned and underway in Azerbaijan across a range of renewable energy technologies. To date, joint development agreements have been signed for wind and solar projects, and integrated offshore wind and green hydrogen projects with a total combined capacity of 4 GW. The projects are part of a larger agreement with Azerbaijan’s Ministry of Energy to develop a renewable energy program, on a bilateral basis, with a total capacity of 10 GW.
Already under development is the 230 megawatt (MW) Garadagh Solar PV Plant. The plant will help to generate half a billion kilowatt-hours of electricity annually, which is enough to meet the needs of more than 110,000 homes. Furthermore, the plant will reduce emissions by more than 200,000 tonnes a year and help create valuable jobs for the local market. The Garadagh project is Azerbaijan’s first foreign investment-based independent utility scale solar project, structured as a public-private partnership.
CE: Expanding the renewable energy sector globally is of critical importance. What is Masdar doing internationally to facilitate the energy transition?
Murad Sadikhov: As a global clean energy leader, Masdar is proud to be active in more than 40 countries across six continents and is committed to investing in worldwide projects with a combined value of over US$30 billion. With a goal of achieving 100 GW renewable energy capacity and green hydrogen production of 1 million tonnes per annum by 2030, we are helping to spearhead the UAE’s Net Zero by 2050 Strategic Initiative and the global energy transition.
Masdar’s establishment and evolution are part of a cycle of growth and innovation that was set in motion by the UAE’s visionary leadership. Late last year, we announced the completion of a new structure which unites three UAE energy champions - Mubadala, ADNOC, and TAQA - as shareholders in Masdar. This new global clean energy powerhouse is able to harness decades of experience across various technologies to enable Masdar to achieve its growth targets and emerge as a global leader in clean energy and green hydrogen.
