Masdar plans bigger Azerbaijan solar project, battery storage and 24-hour clean power

New plans include 350MW solar expansion and a 100MW round-the-clock project

Last updated:
Nivetha Dayanand, Assistant Business Editor
Sheikh Tahnoon bin Zayed and President of Azerbaijan witness Masdar agreement to explore new renewable energy projects and round-the-clock power opportunities
Sheikh Tahnoon bin Zayed and President of Azerbaijan witness Masdar agreement to explore new renewable energy projects and round-the-clock power opportunities
Supplied

Dubai: Masdar is looking to expand its renewable energy footprint in Azerbaijan with a larger solar project, battery storage and a new round-the-clock power development, while a separate 315MW solar project has reached financial close.

Get updated faster and for FREE: Download the Gulf News app now - simply click here.

The Abu Dhabi Future Energy Company signed a collaboration agreement with Azerbaijan Green Energy Company to explore several new projects, including an expansion of its existing Garadagh Solar PV development by at least 350MW.

The plans also include a battery energy storage system of up to 200MWh and a separate 100MW round-the-clock renewable energy project.

The agreement was signed during the visit of Sheikh Tahnoon bin Zayed Al Nahyan, Deputy Ruler of Abu Dhabi and National Security Adviser, in the presence of Azerbaijan President Ilham Aliyev.

Garadagh could become much larger

Masdar's existing Garadagh Solar PV project has a capacity of 230MW and was inaugurated in 2023.

The proposed expansion would add a minimum of 350MW, alongside battery storage designed to increase flexibility in how renewable electricity is supplied.

Garadagh currently generates around 500 million kilowatt-hours of electricity each year, enough to power more than 110,000 homes.

This agreement with AGEC gives us the opportunity to build on that track record by expanding the project, integrating battery storage and exploring round-the-clock renewable power. By combining our development, technical and operational expertise, we aim to deliver reliable, flexible energy solutions that support Azerbaijan’s growing power needs.
Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar

24-hour renewable power also being explored

Masdar and AGEC will also study a 100MW round-the-clock renewable energy project in Nakhchivan.

The development would draw on Masdar's experience with a similar project in Abu Dhabi, where the company is working with Emirates Water and Electricity Company on a $6.1 billion renewable power development.

That project combines 5.2GW of solar capacity with a 19GWh battery energy storage system and is designed to deliver up to 1GW of baseload renewable power around the clock.

It reached financial close in July 2026.

315MW project reaches financial close

Masdar and SOCAR Green also announced financial close for the 315MW Neftchala Solar PV project, which they are developing with Azerbaijan's Ministry of Energy.

Financing is being provided by the Asian Infrastructure Investment Bank, the European Bank for Reconstruction and Development and the Asian Development Bank.

The project is expected to generate more than 686 million kilowatt-hours of renewable electricity annually, enough to power around 140,000 homes, while avoiding approximately 280,000 tonnes of carbon emissions each year.

Masdar is also developing the 445MW Bilasuvar solar project and the 240MW Absheron-Garadagh onshore wind project with SOCAR Green.

Those developments, together with its other investments, take Masdar's total renewable energy capacity in Azerbaijan to more than 1.2GW.

Nivetha Dayanand
Nivetha DayanandAssistant Business Editor
Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series. Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy. An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question. When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.

Get Updates on Topics You Choose

By signing up, you agree to our Privacy Policy and Terms of Use.
Up Next