ACWA Power has signed an implementation agreement with the Ministry of Energy of Azerbaijan for developing, building and operating a 240 MW wind power project.
The power purchase agreement (PPA) of the project spans over a period of 20 years on a Build Own Operate (BOO) basis. The ceremony was held in the presence of His Excellency Ali Asadov, Prime Minister of Azerbaijan, Mr. Parviz Shahbazov, Minister of Energy, Mohammad Abunayyan, Chairman of ACWA Power and Rajit Nanda, Chief Investment Officer of ACWA Power.
The 240 MW project will bolster the government's efforts in diversifying Azerbaijan's energy mix by leveraging the country's rich renewable energy resources and strengthening energy security, as Azerbaijan is undertaking major reforms to divert its dependence from oil and gas. It is one of the two first independent power projects in Azerbaijan.
It is noteworthy that a Memorandum of Understanding for the wind project was signed in March 2019, which determined the basic principles of cooperation in the field of investments in renewable energy sources in Azerbaijan, assessment of existing potential for investments and creation of necessary conditions.