Azerbaijan: In a groundbreaking development for Azerbaijan’s renewable energy sector, Citaglobal Bhd (Citaglobal) has entered into a Framework Agreement with the Port of Baku to establish a 5.4 MW solar photovoltaic (PV) facility, marking the nation’s first-ever commercial renewable energy project that integrates solar power with a cutting-edge Battery Energy Storage System (BESS).
This pioneering initiative sets a new precedent for Azerbaijan’s commitment to sustainable energy solutions, paving the way for a greener and more efficient future.
This groundbreaking green energy project will be led by Tiza Green Energy LLC, a joint venture established by Tiza Global Azerbaijan LLC and Citaglobal Renewable Energy Sdn Bhd, a wholly-owned subsidiary of Citaglobal. The agreement was signed in the presence of YBhg Datuk Dr. Ching Thoo a/l Kim, the Secretary General of the Ministry of Natural Resources and Environmental Sustainability of Malaysia, and His Excellency Ambassador Ahmad Kamrizamil Mohd Riza, the Ambassador of Malaysia in Azerbaijan, during COP 29’s Green Energy Day. COP 29’s Green Energy Day is an event dedicated to showcasing cutting-edge energy solutions, advancing global climate goals, and supporting Azerbaijan’s ambitious target of increasing the share of renewable energy in its energy mix to over 60% by 2050.
This strategic partnership embodies the nation’s steadfast commitment to a more sustainable future and serves as a significant milestone in Azerbaijan’s journey towards achieving its renewable energy aspirations.
This trailblazing project is supported by a 21-year Power Purchase Agreement (PPA), guaranteeing a fixed tariff throughout its duration. This agreement provides the Port of Baku with predictable energy costs and shields it from future grid price fluctuations, ensuring a stable and sustainable energy supply for years to come.
While the project’s capacity may be modest, it signifies a momentous leap forward in Azerbaijan’s renewable energy journey. By seamlessly integrating solar power, a Battery Energy Storage System (BESS), and connectivity to the distribution grid, this initiative sets a benchmark for sustainable energy solutions.
It presents an adaptable model that can be replicated across the country to bolster energy security and advance sustainability goals, paving the way for a greener, more efficient future for Azerbaijan.
Beyond its groundbreaking nature, this initiative is poised to yield considerable long-term cost savings while drastically reducing greenhouse gas emissions. Upon full implementation, the port’s entire annual electricity consumption will be sourced from green energy, solidifying its commitment to sustainable practices.
The project’s Phase 1 will kick off with rooftop solar PV installations, which will later evolve into more expansive, ground-mounted systems. These subsequent phases will see the deployment of Citaglobal’s innovative MYBESS solution, ensuring the port can harness nearly 100% of the generated solar energy at a competitive rate.
This comprehensive, multi-phase approach demonstrates the port’s dedication to maximising the potential of renewable energy sources and serves as a beacon of innovation for the renewable energy sector.
The incorporation of Citaglobal’s MYBESS technology allows for the storage of excess energy, ensuring its availability during periods when the port’s electricity demand surpasses the supply from solar generating systems. This strategic integration minimises reliance on grid power, optimising energy efficiency, and promoting self-sufficiency.
Spanning an impressive 400 hectares, the Port of Baku is situated just 70 kilometers from Azerbaijan’s capital. As a vital transport and logistics hub for Eurasia and a key component of the Trans-Caspian International Transport Route, the port plays a critical role in connecting economies and facilitating trade.
Currently, the Port of Baku boasts 13 berths, including a Roll-on/Roll-off (Ro-Ro) facility, a ferry terminal, and a general cargo terminal. It is now in the midst of its second stage of construction, which aims to significantly increase annual throughput capacity to 25 million tons, including 500,000 TEU (twenty-foot equivalent unit) containers.
As the Port of Baku undergoes this expansion, it remains committed to sustainable practices. Its ongoing efforts include improving energy efficiencies, implementing effective waste management systems, and participating in local environmental protection projects.
The successful integration of solar power and MYBESS in this landmark initiative serves as a testament to the port’s dedication to driving renewable energy adoption and fostering a greener future.
“This agreement marks a major milestone in advancing Azerbaijan’s renewable energy landscape with an innovative solution that seamlessly integrates solar power and BESS technology,” said Tan Sri Dr Norza Zakaria, President of Tiza Green Energy LLC and Executive Chairman and President of Citaglobal Berhad.
“The solution that we are implementing not only maximises clean energy use on-site but does so at a cost competitive tariff, demonstrating our shared commitment to sustainable, cost-effective energy solutions.”
“As the first Green Port in the Caspian region since 2019, we have implemented significant measures to minimize our environmental impact. Our strategy is to achieve zero emissions by 2035, and I am confident that our partnership with Tiza Green Energy will position us as leaders in sustainable practices, significantly reducing our Scope 2 emissions. The integration of solar and BESS technology brings unprecedented energy management capabilities, reinforcing our commitment to both economic and environmental stewardship,” said Dr. Taleh Ziyadov, Director-General of the Port of Baku.
The Port of Baku’s commitment to climate resilience is evident in its 2035 Climate Action Plan. The plan emphasises reducing emissions, improving efficiency, and mitigating climate risks, demonstrating its dedication to sustainable practices.
As host of COP 29, this initiative solidifies Baku’s leadership in addressing climate change and implementing innovative environmental strategies.