Aboem jurnal 280x210 eng

State Agency for Alternative and Renewable Energy Sources of the Republic of Azerbaijan | AREA | 49

| AREA | State Agency for Alternative and Renewable Energy Sources of the Republic of Azerbaijan50

“The use of alternative and renewable energy sources represents modernity, innovation and clean
technology from an environmental point of view. This is our vision of the future.”
ILHAM ALIYEV
President of the Republic of Azerbaijan

INTRODUCTION
The increasing demand for energy resources,
scarcity of traditional energy resources,
adverse impacts on climatic conditions
because of use of hydrocarbon resources have
necessitated use of alternative and renewable
energy sources and “State Programme on Use
of Alternative and Renewable Energy Sources
in the Republic of Azerbaijan” was approved by
the Order (nr.462, dated by 23 October 2004)
of the President of the Republic of Azerbaijan
and thereby a new development period for
this area has begun in our country. it should
be particularly noted that our country, which
has rich hydrocarbon resources, builds its
energy policy towards ensuring sustainable
development in the globalized world and

here one of the main objectives is to meet
our country’s demand for energy while
protecting environment and using available
local resources along with increasing oil and
gas products export capacities by saving
hydrocarbon resources as much as possible.
Day by day development of national economy
has created favourable conditions also for use
of alternative and renewable energy sources
as in all areas of social and economic life.
For time being, the share of alternative and
renewable energy sources makes up 16,8%
of total investment power in total electricy
production and so electricity in amount of 1.8
billion kW-hr was produced in our country
for 2015. Thereby, natural gas in amount
of 465 million cubic meters was saved and
accordingly CO2 emissions in amount of 1
million tonnes were prevented in 2015. We
aim at to increase the share of alternative and
renewable energy sources up to 50% in total
electricity production by 2050 and thereby to
save millions cubic meters of natural gas and
prevent CO2 emissions. Study of international
experience in use of alternative and renewable
energy sources, determination of our country’s
capacities, implemenation of some small
and medium size projects on alternative and
renewable energy sources in various regions
confirm accessibility of targets put ahead and
a three-pillar “energy development model”
has been developed within our country’s
energy supply concept to reach these targets.
Application of the “energy developmet model”,
which embraces use of high technologies,
modern management systems and consists
of small, medium and big size energy stations
working by alternative and renewable energy
sources, in our country will give a push to
formation of ten thousands of entrepreneurs,
hundred thousands of new jobs and a new
energy market.
All the above mentioned will contribute to
widening of use of alternative energy sources
by use of country’s natural capacity, saving of
hydrocarbon resources, futher strengthening
of country’s energy security, use of advanced
technologies, strengthening of staffing
capacity, improvement of the public welfare
due to creation of new workplaces, reaching
of environmental protection goals due to
reduction of CO2 emissions and reduction of
CO2 emissions from the 1990 year level to 35
% in 2030 as “voluntary target” declared at
2015 Paris conference.
Akim Badalov
Chairman of State Agency on Alternative
and Renewable Energy Sources of
the Republic of Azerbaijan

CONTENTS
ARES IN
AZERBAIJAN
OUTLOOK
page. 01 page. 05
page. 45page. 21
INTERNATIONAL
COOPERATION
PROJECTS
THE PAST,
THE PRESENT
AND THE
FUTURE OF
ARES
SCIENTIFIC
AND TECHNICAL
COOPERATION
AND AWARENESS
KEY
DEFINITIONS
INTRODUCTION
page. 08
page. 18
page. 13

ARES IN AZERBAIJAN - OUTLOOK
Wind power:
Since the wind enters the
territory of Azerbaijan
from a narrow strip at the
shoreline of the Caspian
Sea and from the valley
between the Great and Small
Caucasian Mountains, wind
intensification is a recurring
weather phenomenon in the
surrounding territories. This
effect reaches its maximum
level both on the Absheron
Peninsula, a narrow strip
in the Caspian Sea and on
Absheron’s offshore zone.
According to a study carried
out by the State Agency,
the average annual wind
speed ranges between 7 and
8.5m/s at a height of 80m
above the land surface there,
and this is categorized as a
“highly favourable” energy
potential class according
to the classification of the
International Renewable
Energy Agency (see Figure 1).
Solar energy:
The mean annual duration of
solar radiation in Azerbaijan
is observed to be somewhere
between 2000 and 3000
hours. According to research
conducted by the State
Agency, the annual quantity
of solar energy falling on
each square meter of the
country’s territory ranges
between 1300kWh and
1750kWh. The International
Energy Agency’s (IEA) 2011
Report listed the amount
of solar radiation falling on
the horizontal surfaces of
the territory of Azerbaijan
as 1566kWh/m2. According
to the IRENA classification,
these two measurements are
designated as “favourable”
and “highly favourable”
energy potential classes
respectively (see Figure 2).
Hydro power:
The full hydraulic power
potential of the rivers
in Azerbaijan has been
estimated at 40 bln kWh, and
their technically favourable
potential at 16 bln kWh, 5 bln
kWh of which are accounted
for by small hydro power
plants.
Geothermal energy:
Although the temperature of
thermal waters in Azerbaijan
is not very high, the use
of these waters for the
generation of geothermal
energy is considered to be
feasible. The temperature
of thermal waters in various
areas ranges between 30 and
110oC. The Kura Concavity,
the Gusar Foothills zone and
the Absheron Peninsula are
considered the most ideal
locations in this regard.
Accordingly, the capacities
for potential inputs of 480,
70, and 65MW respectively,
exist in these territories.
In total, the national
thermal waters’ potential is
estimated at 245,600m3/day
or 800MW.
Biomass and Waste:
There are approximately
2.7 million large horned
mammals and 10 million
small horned animals
and 25.5 million poultry
in Azerbaijan, and the
quantity of their total annual
discharges approximately
equals 25 million tons. The
annual volume of solid
domestic wastes from large
cities comprises 2.4 million
tons. Additionally, quite
significantquantitiesofwood
splinters, wood processing
wastes, agricultural residues
and other wastes and animal
discharges are accumulated
in Azerbaijan each year.
All these have enormous
potential as renewable bio-
energy resources.

0 5000 10000 20000 30000 40000
MVt
Potential for ARES in Azerbaijan
MVt
Wind 15000
Solar 8000
Biomass and waste 900
Geothermal 800
Hydro power 650
Figure 1.
Average wind speed at a
height of 80 meters (m/s)
Figure 2.
Annual solar radiation (kWh/m2)

CHRONOLOGY OF THE DEVELOPMENT
OF AREA IN AZERBAIJAN
(HISTORY) In addition to being a
country with extensive experience
in the use of hydrocarbon
resources, Azerbaijan also has an
ancient and distinguished history
in the utilization of renewable
energy sources in the country.
The first hydro power plant (HPP)
in Azerbaijan was built by Siemens
in 1883 in Galakend village
(Gedebey). The HPP supplied
power to a copper mill, the mining
field, a workshop and buildings.
Beginning in the 1950’s, the
construction of hydro power
plants was further accelerated
in Azerbaijan. During that time
nationally noteworthy HPP”s
such as Varvara, Mingechevir,
Araz, Terter, and Shamkir were
constructed and commissioned,
with a total output capacity of
870MW.
Additionally, during that period
attempts were made to harvest
solar energy, and between 1983
and 1984 solar photovoltaic cells
on mono-crystalline silicon panels
were produced using equipment
at the Defence Industry’s Ozone
Crystal Plant in the S.S.R. of
Azerbaijan.
In the years after independence, the
use of hydro power plants to satisfy
the country’s demand for electrical
power remained prevalent, and
during that period medium and
small scale hydro power plants in
Yenikend, Takhtakorpu, Vaykhir,
Arpachay, Bilev, Shamkir, Fuzuli,
Gusar, Ismayilli, and Balaken were
built and commissioned.
The remnants of the first HPP built in the
village of Galakend (Gedebey) in 1883.
Solar photovoltaic cells on mono-crystalline silicon panels
produced at the Ozone Plant during 1983-84.

(PPF)Prior to beginning to use renewable
energy which has advantages in terms of
environmental protection and sustainable
development, mankind has trod a difficult
path of development. After the discovery of
coal and electric energy and the Industrial
Revolution, the significance of energy
increased immeasurably. The use of steam-
engine powered machines in the beginning
of the 18th century increased the importance
of mining resources. The use of natural gas to
light the street lamps in large cities of Europe
and for the production of electric energy
began as early as the end of the 18th century
and the beginning of the 19th century.
Later, scientists discovered that photovoltaic
compounds can generate energy if they are
exposed to light and that hydrogen, the most
abundant element in the universe, is also a
ABOEM’s past, present and future
The United Nations Framework Convention on Climate
Change (UNFCCC) signed in Rio de Janeiro, Brazil, in 1992
(The Rio+20 Summit) and The Kyoto Protocol adopted at the
3rdConferenceofthePartiestotheUNFCCC(COP3)inKyoto,
Japan, on the 11th of December, 1997, have designated as a
main goal the reduction of the volume of hazardous gases
emitted into the atmosphere and the increase of the share
of renewable energy used in satisfying energy needs.

promising source of “clean” fuel on Earth.
Thanks to these discoveries, the use of solar
and hydrogen energy in the future would
become the dominant scientific achievement.
The rapid exploitation of mining reserves in
the beginning of the 20th century engendered
a number of environmental problems. The
hazardous gases and wastes emitted into
the atmosphere and environment during
the production and subsequent use of fossil
fuels from 1940-1950 started to cause grave
complications.
During subsequent decades, in addition
to environmental problems, the political
processes stirring in the world and the oil crisis
in the 1970’s caused nations to reconsider
their energy policies.
International organizations uttered calls for
the prevention of global warming and climatic
changes and urged implementation of
sustainable development principles on a large
scale at the end of the 20th century.
The United Nations Framework Convention
on Climate Change (UNFCCC) signed in
Rio de Janeiro, Brazil, in 1992 (The Rio+20
Summit) and The Kyoto Protocol adopted
at the 3rd Conference of the Parties to the
UNFCCC (COP3) in Kyoto, Japan, on the 11th
of December, 1997, have designated as a main
goal the reduction of the volume of hazardous
gases emitted into the atmosphere and the
increase of the share of renewable energy
used in satisfying power needs.
According to the Directive adopted by
Member States of the European Union in
order to ensure the reduction of dependence
on traditional energy, prevention of
environmental damage and intensification
of the use of renewable energy sources, and
outlining the environmental and energy issues
to be addressed up to 2020, the “20-20-20”
targets have been defined in three fields,
and one of these fields relates to increasing
the proportion of energy consumption from
renewable energy sources by 20 percent.
The United Nations Climate Change
Conference (COP21) which was held at the
end of 2015 also deserves special mention, as
one of the main purposes of the Conference
was to ensure the signing of an international
agreement by world states to keep the global
temperature increase “well below” 2oC (3.6oF).
Within the framework of this agreement
countries have undertaken certain obligations
in the field of climatic change prevention,
including the development of the ARES
industry.

The expansion of the use of ARES in our
country began by establishing “The State
Program on use of Alternative and Renewable
Energy Sources in the Republic of Azerbaijan”
which was drawn up at the initiative of H.E.
Ilham Aliyev, President of Azerbaijan and
approved by his Decree # 462 dated October
21st, 2004. The approval of the State Program
gave significant impetus to the development
of related industries including the creation of
an institutional environment.
Within the framework of activities arising out
of the State Program, the State Agency for
Alternative and Renewable Energy Sources
was established under the auspices of the
Ministry of Industry and Energy of the Republic
of Azerbaijan in 2009. In order to improve the
management of this industry, the State Agency
for Alternative and Renewable Energy Sources
of the Republic of Azerbaijan and the Agency’s
AzAlternativEnerji LLC were established in 2013.
As a result of the approved state programs and
structural reforms, 10 new hydro power plants
in the Nakhchivan Autonomous Republic,
Fizuli, Ismayilli, Gusar, Shabran, Sheki, Balaken
and Shamkir regions, a heating plant at
the Solid Household Waste Incinerator in
Sabunchu District in Baku, 4 wind power plants
in the Khizi and Apsheron regions, a hybrid
power plant in Gobustan, solar power plants
in the Samukh region and in the Nakhchivan
Autonomous Republic, as well as in the
Garadagh, Sabunchu and Pirallahi districts of
Baku, and sports centres supplied with energy
from renewable energy resources in Masalli
and Beylagan regions were built, while solar
panels and heating pumps were installed at 24
social facilities in various regions of the country
by state and non-state enterprises beginning
in 2009. The power plants, with a total output
capacity of 259MW, comprised of 63MW of
wind power, 33MW of solar power, 38MW
of biomass and waste power and 125MW
of hydro power were then commissioned.
Additionally, the Azguntex Solar Panels Plant
with an annual production capacity of 50MW
and an enterprise producing solar collectors
in the Sumgayit Technologies Park were
constructed in Sumgait.
INSTITUTIONAL ENVIRONMENT
ARES power sources
installed in 2010-2015
Hydro / SHPP (Small Hydro Power Plants)
Wind
Biomass & Waste
Solar
259 MW in total
13%
15%
24%
48%

New power and heat generating
capacities with a total output exceeding
7650MW from renewable energy
sources is slated to be installed in
Azerbaijan by the year 2020.
Among those capacities, the installation
of solar heating plants of 4500MW, solar
power plants of 1065MW, wind power
plants of 1512MW, biomass plants
of 515MW, and energy generating
capacities at small rivers of 60MW has
been planned. The goal is to increase
the share of renewable energy in the
production of electric power to 20%
and to 9.7% of the total energy supply
by 2020.
The broad implementation of utilization
of ARES will create conditions for the
economical and efficient use of energy
in the country, increase exports of fuel
resources, decrease the volume of
hazardous substances discharged into
the environment by 20-25%, and create
more than 25,000 new jobs.
Projected ARES Development Map of the Republic of Azerbaijan
Projected proportion in
percentages of power
produced from alternative
and renewable energy
sources by 2020
Hydro (0.01<10)
1%
Solar Heating
59%
Wind
20%
Biomass
6%
Solar Power
14%

Participation in the development of a
unified state policy in the area of alternative
and renewable energy and its sound
management in the Republic of Azerbaijan
and ensuring implementation of the
aforesaid policy;
Ensuring the development of the relevant
field and establishing the required
infrastructure;
Ensuring the application of alternative and
renewable energy to economic and social
fields;
Implementation of measures related to
power generation, energy consumption
and energy efficiency using alternative and
renewable energy sources;
Conducting state registration and inventory
in the relevant field;
Regulatory control over alternative and
renewable energy.
The State Agency’s
Activities:
The State Agency
2020 Strategic Targets:
The identification of ARES, calculation of its
nationwide potential and the establishment of
a State cadastre of alternative and renewable
energy sources;
The establishment of a regulatory and legal
framework in the relevant field;
Drafting of a rate (tariff) policy and developing
incentive measures and discounts for the
relevant field and development of the State’s
ARES Innovation Policy;
The establishment of new generating
capacities from alternative and renewable
energy sources and organising for their
efficient management;
The establishment of centralized management
structuresfortheindustryandthecoordination
of joint activities with other executive power
and non-government agencies;
The provision of ARES-related learning
methodologies in higher educational
institutions and scientific research centres in
order to procure qualified staff.

INTERNATIONAL
COOPERATION

INTERNATIONAL COOPERATION
The Republic of Azerbaijan proactively
collaborates with a number of countries,
regional and international organizations and
financial institutions in fields relating to the
ARES industry.
The Republic of Azerbaijan joined the IRENA
in 2009 and became a full member after
ratification of the International Renewable
Energy Agency Charter in the National
Parliament (Milli Majlis) on May 2nd, 2014.
TheStateAgencyforAlternativeandRenewable
Energy Sources of the Republic of Azerbaijan
broadly collaborates with the United Nations
Economic Commission for Europe; the United
Nations Development Programme (UNDP);
the European Union, the World Bank, the
Asian Development Bank (ADB); the KfW
Development Bank (Germany); the French
Development Agency (AFD); the United States
AgencyforInternationalDevelopment(USAID);
the Economic Cooperation Organization (ECO);
the Black Sea Economic Cooperation (BSEC);
the Japan International Cooperation Agency
(JICA); the Korea International Cooperation
Agency (KOICA); the EU-funded programme
INOGATE (The Interstate Oil and Gas Transport
to Europe); GUAM, and others, as well as with
Germany, Turkey, France, Holland, Sweden,
Slovenia, the Czech Republic, Slovakia, Ukraine,
Argentina, the UAE, Iran, Lithuania and several
other countries.
It is worth mentioning that the State Agency
has signed official documents targeting
broader cooperation with relevant state
institutions of a number of countries in the
field of alternative and renewable energy.
A Memorandum of Understanding was signed
by the State Agency and the Ministry of
Energy of the Islamic Republic of Iran in 2014
and between the State Agency and the State
Energy Department of the People’s Republic of
China in 2015.
The signing ceremony of the Memorandum of Understanding between the State Agency and the Ministry of Energy of the
Islamic Republic of Iran with the participation of H.E. Ilham Aliyev, the President of the Republic of Azerbaijan and Mr
Hasan Rouhani, the President of the Islamic Republic of Iran on November 12th, 2014, in Baku.

The signing ceremony of the Memorandum of Understanding between the State Agency for Alternative and Renewable
Energy Sources of the Republic of Azerbaijan and the State Energy Department of the People’s Republic of China.
Beijing, December 10th, 2015
The 2nd UN Forum on Financing Sustainable Energy for All, held at the Office of the UN General Assembly. Speech by Akim
Badalov, Chairman of the State Agency for Alternative and Renewable Energy Sources of the Republic of Azerbaijan at the
Global Energy Ministerial Meeting. New-York City, May 21st, 2015.

Meeting between Akim Badalov, Chairman of the State Agency and Georgiy Kvirikashvili, Georgian Minister of Economy
and Sustainable Development and Kakha Kaladze, Minister of Energy of Georgia, June 8th, 2015.
Meeting at PowerChina (The Peoples Republic of China), November 2015.
The 6th Session of the IRENA Assembly in Abu-Dhabi,
UAE. 16-21 January 2016.
CISOLAR-2015 - 4th International Conference & Exhibition
“Solar Energy of the South Caucasus, Eastern Europe and
Central Asia”. Baku, 16-17 April 2015

SCIENTIFIC AND
TECHNICAL COOPERATION
AND AWARENESS

Inorder to create educational opportunities
for the development of highly skilled
personnel for ARES and to train specialists, a
cooperation agreement was signed by and
between the State Agency and the Baku High
Oil School.
A conference on Energy, Renewables and
Sustainability dedicated to International Earth
Day was held at the ADA University with
the joint organizational support of the State
Agency for Alternative and Renewable Energy
Sources of the Republic of Azerbaijan, the
American Chamber of Commerce (AmCham),
the European Network of American Alumni
Associations (ENAM) and the US-Educated
Azerbaijani Alumni Association (AAA).
SCIENTIFIC AND TECHNICAL
COOPERATION AND AWARENESS
The State Agency closely collaborates with relevant institutions in Azerbaijan to promote
the introduction of scientific and technical innovation, training of specialists and to increase
awareness among energy consumers. Close cooperation relations have been established
between the State Agency and specialists from the institutes of Physics, Radiation Problems
and Geology of the Azerbaijan National Academy of Sciences (ANAS), the Azerbaijan
Scientific and Research Institute of Energy and Power Design, Baku State University, the
Azerbaijan Diplomatic Academy (ADA), the National Aviation Academy, the Caucasian
University and other scientific institutions in the renewable energy field.
The 6th Caspian International Power and Alternative Energy Exibition, Baku, June 3, 2016.

Additionally, in order to improve the
practical knowledge of students, the State
Agency provides permanent support for the
implementation of scientific and practical
seminars and training courses at the ARES
plants which are already operational, as well
as at the Gobustan Experimental Landfill and
Training Centre (GELTC).
The State Agency on Alternative and Renewable
EnergySourcesandtheStateFundfortheSupport
of Mass Media Development under the auspices
of the President of the Republic of Azerbaijan
organised a competition of individual articles
for journalists under the theme “Alternative
energy sources of Azerbaijan: current status,
key priorities and future opportunities”. Winners
were awarded special diplomas from the State
Sources and the State Fund for the Support of
Mass Media Development.
The joint promotion and awareness-oriented
ARES projects were implemented with
the participation of the State Agency in
collaboration with international organizations.
Under a UNDP project entitled “Support
for Sustainable Energy Development in
Azerbaijan”, workbooks and other materials
were printed for students and were distributed
to partner institutions, schools and public
organizations.
Additionally, within the framework of the project,
whichwasjointlyimplementedbythelocalchapter
of the Japan International Cooperation Agency
(JICA), the State Agency held an awareness event
at Secondary School # 10 located in the Nizami
District of Baku city with the aim of informing
the pupils about alternative and renewable
energy, its efficient management, the alternative
energy potential of our country, as well as energy
conservation and energy efficiency.
The Energy, Renewables and Sustainability Conference at ADA University, Baku, April 22nd, 2016.

Baku High Oil School. Baku, April 21st, 2016
The awards ceremony for winners of the competition for individual articles by journalists under the theme “Alternative
energy sources of Azerbaijan: current status, key priorities and future opportunities”. November 17th, 2015.

PROJECTS

IMPLEMENTED PROJECTS
Measurement, monitoring and control (MMC) units
Beginning in 2011, a number of 85-meter-high
measurement, monitoring and control (MMC)
units were installed in various locations by the
State Agency for Alternative and Renewable
Energy Sources to determine the power-
producing potential of these areas which were
designated for the construction of wind and
solar power plants.
The MMC units are equipped with high-
precision anemometers, compact wind-speed
sensors and highly sensitive pyranometers
to measure solar radiation. Meteorological
data are also captured by these units – the
data is then transferred and processed by the
central system, and the ARES potential of the
territories is assessed by specialists.
Moreover, 7 additional stationary-type MMC
units will be installed in the Nakhchivan
Autonomous Region and in 6 other regions by
the State Agency by 2018.
The MMC units were installed at the following locations:
• on Absheron Peninsula (a territory of particular significance): Pirallahi and Sangachal;
• In the Northern Region: Khizi (Sitalchay), Khizi (Gilezi), Siyezen, and Khachmaz ;
• In the Western Region: Ujar, Samukh, and Aghstafa;
• In the Southern Region: Neftchala, Masally, Astara and Imishli;
• on the lands of the Gobustan Hybrid Power Plant.

The 5.5MW Gobustan Experimental Landfill and Training
Centre and the Offices of the State Agency for Alternative and
Renewable Energy Sources (AREA), 2011.
The Gobustan Experimental Landfill and
Training Centre (GELTC), located on 38
hectares of land, was the first hybrid-type
power plant built in Azerbaijan and boasts
wind, solar and biogas power plants; three
wind turbines (each 0.9MW), a 1.8MW solar
power plant and a 1MW biogas power plant.
A regulation and control facility, a water
reservoir, a testing area (polygon), a laboratory
and a workshop comprise the other main
structures at the GELTC complex. It is possible
to monitor and control the power plants and
conduct tests from within the laboratory at
the GELTC. Training courses are organized
and held in two classrooms. The technological
processes in the testing area (polygon) and
in the centre are managed from the control
facility. The complex was built as a means
of satisfying the energy requirements of
Gobustan City in the initial phase and those
of the Gobustan region in the subsequent
phases, using energy produced at the plant.
In order to achieve this objective, additional
power plants are planned to increase the total
generating capacity in the Gobustan region
in the near future.
Gobustan Experimental Landfill and
Training Centre (GELTC)

The 5.5MW Gobustan Experimental Landfill
and Training Centre and the Offices of the
State Agency for Alternative and Renewable
Energy Sources (AREA), 2011.

Wind Farm near Yeni Yashma settlement of Khizi region (1.7MW);
Caspian Technology, 2008.
Wind Farm near Sitalchay settlement in Khizi region (3,6MW); Trans-T.S. LLC, 2011.

Wind Farm near Yeni Yashma settlement of Khizi region (50MW);
Caspian Management Systems and Aztorg LLC, 2009.
Wind Farm near Hokmeli settlement in
Absheron region (8.0MW);
Alten Group, 2011
Training Centre; Caspian Technology, 2009.

The State Oil Company of the Azerbaijan
Republic (SOCAR) implemented an
Environmental Park project on 9.3 hectares
of reclaimed land cleared of oil and oil by-
product wastes in the Gala settlement. 4
wind generator units (each 10kW) and solar
panels with a total power output of 20kW
were installed in order to alleviate part of
the regions demand for power supply using
alternative and renewable energy sources.
The 1.4MW Geothermal
Power Plant (GPP) installed at
the ADA University in order
to alleviate part of its demand
for heating energy using
alternative and renewable
energy sources. 2012
The inauguration ceremony of the 37 MW Solid Household Waste Incineration Plant with the participation of Mr Ilham
Aliyev, the President of the Republic of Azerbaijan; Temiz Sheher OJSC, December 19th, 2012.

The Surakhani Solar Power Plant (SPP)
was constructed and is managed by
AzAlternativEnerji LLC, reporting to the State
Sources. The planned output capacity of the
plant is 2.8MW and mainly local raw materials
andequipmentwereusedintheconstructionof
the plant. The construction of the plant began
in March 2014, and it was put into operation on
16 July of the same year.
The plant can produce 4.4 mln kW∙hours
of power annually, operating at its present
capacity and 6.2 mln kW∙hours of power if it is
operated at full capacity. If the plant is operated
at full capacity, then over 1.5 million cubic
meters of natural gas will be saved annually.
About 4.0 mln kW∙hours of power have been
produced at the plant as of June 1st, 2016.
The inauguration ceremony of the Surakhani SPP with the participation of Mr Ilham Aliyev,
the President of the Republic of Azerbaijan, 2014.
Surakhani
Solar Power Plant

Pirallahi Solar Power Plant
Construction of the Pirallahi
Solar Power Plant (SPP) with
a planned output capacity of
2.8MW began in 2014 and
1MW of this projected output
has already been installed and
connected to the power grid.
About 1.0 mln kW∙hours of
energy have been produced at
the plant and transferred to the
power grid as of June 1st, 2016.
Currently, work is continuing to
increase the power of the plant
up to its designated output
capacity of 2.8MW.
The 2.8MW Pirallahi Solar Power Plant, First phase;
AREA’s AzAlternativEnerji LLC, 2014

AzGunTex LLC was founded in Sumgayit in
2011. The AzGunTex Solar Panel Plant began
operating after its official opening held on
the 24th of April 2012, which was attended by
Mr. Ilham Aliyev, the President of the Republic
of Azerbaijan. The first line of this plant with
an annual production capacity of 25MW and
equippedwithmodernEuropeanequipmentwas
installed and commissioned in 2012. AzGunTex
LLC products were awarded with the TÜV
Rheinland Photovoltaic module qualification
certificate (registration #: PV60080161; Report
# 2186616.001 / IEC 61215/) in 2012 for their
compliance with international standards and
high quality. A second production line was
installed last year, and consequently the Plant’s
production capacity doubled. The solar panels
manufactured at the plant are sold only in
Azerbaijan at this time, but there is a plan to
export these products in the future.
Azguntex LLC

AzGunTex LLC is currently
conducting research
and development to
manufacture small hybrid
systems with up to 10MW
of power and provide sales
points and showrooms for
these products in various
regions of Azerbaijan.

In 2015 a solar power plant with a planned
output capacity of 20MW was installed in the
Babek region of the Nakhchivan Autonomous
Republic. This project was implemented
on the basis of the contract signed by the
State Agency for Energy of the Nakhchivan
Autonomous Republic and Soltech N.V.
(Belgium). This plant has the potential to
produce over 30 mln kW∙hours of power
annually.
The President of the Republic of Azerbaijan Mr Ilham Aliyev at the opening ceremony of the Nakhchivan Solar Power Plant.
December 1st, 2015.
The 580kW Small Hydro Plant in Sheki;
AREA’s AzAlternativEnerji LLC (with the support of the UNDP), 2014.

5 schools and 2 medical facilities in Baku were
each equipped with 130kW solar panels and
280kW heating pumps by the State Agency
for Alternative and Renewable Energy Sources.
Small solar panels (each 70kW) and heating
pumps (each 90kW) were also installed in
sports complexes in the Khojavend settlement
of the Beylagan region which accommodates
internally displaced people (IDPs) from
Khojavend, as well as in the village of
Boradigah in Masally. As a result, the heating
and power supply requirements of the sports
centres were fully met. 297kW solar panels
and 810kW heating pumps were also installed
in 6 boiler houses built to supply heating and
power from alternative and renewable energy
sources to 6 schools and 6 kindergartens in
the settlements for internally displaced people
(IDPs) from Jabrayil who now live in the
territory of Bilasuvar. Since then, comfortable
conditions have been created for students
and kindergarten children, and the heating of
rooms to up to 24o
C has been ensured.
Basedonthe
OneHome
OnePower
PlantProject
Improved ARES-based
energy supply to
social facilities

Currently, sports centres supplied with power from ARES are being built in the Sheki,
Jalilabad and Siyezen regions of Azerbaijan.
Masally Sports Centre (160kW);
Energy supply improvement project through the use of
ARES in 5 schools and 2 medical centres in Baku (820kW);
AREA’s AzAlternativEnerji LLC, 2013.
Beylagan Sports Centre (205kW);
The Six Schools-Six Kindergartens Project for internally
displaced people (IDPs) from Jabrayil accommodated
in the territory of Bilasuvar (1.1MW); AREA’s
AzAlternativEnerji LLC, 2013.

The Samukh Agro-Energy Residential Complex
is a unique project envisaging the use of
alternative and renewable energy in the area
of agriculture. The purpose of the project is
to fully provide the region with power and
heating energy through the use of ARES and
at the same time to address the issue of an
environmentally clean and sustainable energy
supply in addition to creating new jobs.
Within the framework of the project, 31MW of
power (from solar and biomass energy) and
48MW of heat generating capacity (hybrid
type) will be provided using ARES. In order to
harness bio-energy, a stock breeding farm for
3000 head of cattle, a fish farm and vegetable
greenhouses will be built on the plot of land
allocated to the State Agency in the territory
of Samukh. 5000 hectares of land is slated to
be allocated in order to provide the stock-
breeding farm with feed base.
The infrastructure for the processing of the
agricultural products, as well as a residential
complex consisting of 1000 houses for the
employees who will work in the complex ,
and the solar, biomass plants will be located
on the SAERC property. This project will be
implemented in 3 phases.
Phase-1 includes the construction of a
2.8MW solar power plant (SPP) and the SAERC
administrative building.
Phase-2 provides for the construction and
commissioning of a stock-breeding farm for
1000 animals, a greenhouse and 300 residential
buildings, the hybrid plant including a 3.2MW
solar and a 2MW biomass plants. Currently,
the works related to this phase are ongoing.
Phase-3 will cover all the project-related works
to be finalized by 2018. The establishment of
agro-energy complexes in order to obtain
bio-energy from agricultural products on the
basis of the creation of a closed technological
Energy-Product cycle; the construction of
new residential settlements around these
complexes and the construction of state-of-
the-art agro-energy infrastructure are some
of the key strategic goals of the State Agency.
Towards this end, there are plans to establish
an agro-energy complex in each economic
region of Azerbaijan by 2020.
PROJECTS UNDER IMPLEMENTATION
Samukh Agro-Energy Residential Complex

The Administrative Building of the Samukh Agro-Energy Residential Complex (SAERC)

The State Agency initiated the Smart
Grid (Network) Project which will use ICT
Technologies to ensure no-loss delivery to
consumers of the electric power generated
at the Gobustan Hybrid Power Plant as well
as providing for its effective distribution. This
grid will supply electric power to Gobustan
city in the first phase, and later, to the entire
Gobustan region.
Under the Smart Grid project implemented for
the first time in our country in the Gobustan
region, the management of the power grid in
the initial phase is expected to be performed
using the existing telecommunications system
operating on the frequency band owned by the
State Agency, and to render other additional
services to individual consumers and entities
in the subsequent phases.
Thanks to the Smart Grid, the automatic
management of both the Energy Production
and Energy Consumption modes using existing
ARES will now be possible.
This system will also be introduced in other
regions of the country in the future.
Smart Grid Project
Smart Grid System in Gobustan

Garadagh-Sahil
Solar Power Plant
Works relating to the construction of
a solar power plant with a capacity
of 3MW near the Sahil settlement in
the Garadagh District which began in
2014 are ongoing. The main reason for
building this plant is to supply power
to the road and transport system of the
adjacent territory, and this Plant will
provide lighting for 30km of roadway
using alternative energy.
The 3MW Garadagh-Sahil Solar Power Plant;
AREA’s AzAlternativEnerji LLC
In mid-2014,
AzAlternativEnerji LLC began
construction of the Sumgayit
Solar Power Plant (SPP).
Currently, 2.2MW of power
generating capacity has been
installed at the plant.
The 2.8MW Sumgayıt Solar Power Plant;
SUMGAYIT SOLAR
POWER PLANT

The design capacity of
this solar power plant
constructed near the
Sangachal settlement
in the Garadagh
district is 9MW. The
implementation of
the project started
in 2014, and works
under the project are
continuing at this
time. This SPP will
serve to satisfy the
increased demand
of the Sangachal
settlement and the
Garadagh district
as a whole for
electric power. 36
thousand solar panels
manufactured using
state-of-the-art
technologies are also
slated to be installed
at the plant, along
with a modern, reliable
power transmission
system.
Garadagh-Sangachal Solar Power Plant
Garadakh-Sangəchal Solar
Power Station (9.0 MVt);
AREA “Azalternativenerji” LLC

PROSPECTIVE
PROJECTS

Hybrid Power Plants (HPPs), a true revolution
in the world of electricity production, use
several energy sources (in parallel) in a single
machine to provide an independent, economic,
safe, sustainable and environmentally friendly
solution through the use of the Smart Grid
(Network) System for the transmission,
distribution and consumption of energy.
The Gobustan Experimental Landfill and
Training Centre (GELTC) is the first hybrid power
plant in Azerbaijan, and the 2.7MW wind,
1.8MW solar and 1MW biogas power plants
have been installed and commissioned at the
site. A Supervisory Control and Data Acquisition
(SCADA) system is used to monitor and regulate
the interrelated operational functioning of
these plants. The successful completion of
this project has created an extremely valuable
practical foundation and a blueprint for the
installation of similar type plants in the future.
Accordingly, the State Agency plans to install
HPPs in various regions of Azerbaijan in the
forthcoming period.
One of the main steps taken in this regard
is the construction of the 78MW Samukh
Agro-Energy Residential Complex in Samukh
district. Moreover, feasibility studies are being
conductedforHPPsofatleast10MWcapacityto
be installed in the Nakhchivan, Oghuz, Gedebey,
Balaken, and Neftchala regions. Significant
work has also been done in Baku and other
regions of Azerbaijan in relation to the creation
of new energy capacities using wastes, which
will both reduce environmental impacts and
PROSPECTIVE PROJECTS
Solar panels and wind turbines for the HPPs to be installed in the
Nakhchivan Autonomous Region and in the Oghuz, Gedebey, Balaken, and Neftchala regions.

allow for better management of industrial and
domestic waste products. The commissioning
of the Baku Solid Household Waste Plant can
be considered one of the first steps made in
this direction. Another issue which should be
addressed without fail is the maximally efficient
use of the energy potential of small rivers and
other water sources in Azerbaijan.
The installation of small hydro plants and hydro-
accumulation systems on mountainous rivers
provides a comprehensive solution to a number
of problems including the management of
seasonal floods which occur in regions adjacent
to these rivers, the provision of electricity to
remote housing settlements, land irrigation,
crop development, fruit-farming, stock
breeding and other agricultural
issues. In the present context,
the reinforcement of energy
saving and energy efficiency
strategies and activities is
increasingly important. In
projects implemented by
the State Agency, activities
relating to the creation of
modern, quality infrastructure
to enhance energy efficiency are generally
included, stimulating the introduction of
new technologies in order to reduce the
inefficient consumption of energy resources
recommended by these principles.
One of the important issues related to the
development of renewable energy sources in
Azerbaijan is the creation of high-technology-
based production lines in this field.

• The creation of a new power generating
source on the Absheron Peninsula, in
the territory immediately adjacent to
consumers and ensuring sustainability in
the supply of power to end users;
• Replacing the fossil fuels currently being
used for power production and reducing
the volume of hazardous wastes emitted
into atmosphere;
• The creation of infrastructure for a direct
motor vehicle transport connection with
Chilov Island and the provision of solutions
to other related social issues.
The Wind Island-1 Project is a unique wind farm connecting the Pirallahi and Chilov islands in
the Caspian Sea. The design capacity of this farm is 200MW.
This project also provides solutions to a number of significant problems:
WIND ISLAND – 1

A project for the installation of a bio-
energy plant to harvest energy from wastes
accumulated as a result of the treatment
of waste waters at the Hovsan Aeration
Plant is also slated to be implemented in
the near future. The motivation behind the
implementation of this project is to clean
waste waters while utilizing toxic gases and
wastes to obtain energy. The Turkan and
Hovsan settlements will be supplied with
heating and electric energy from this station.
Moreover, the operation of the station will
save some 93.8 million cubic meters of natural
gas annually.
The Buzovna Eco-Village will occupy
approximately 40 hectares of beachfront
land. Two-storey individual houses, high-
rise residential buildings and public
buildings are designated for construction
on this site. This complex will be provided
with electric and heating energy from
ARES.
The 50MW Hovsan Aeration Plant
Buzovna Eco-Village

Small scale power plants:
1. Small scale power plants are considered to
be facilities that meet the below-defined
conditions or have electric power within the
below-defined thresholds:
a) solar power plants producing heat and
electric power;
b) wind power plants between 10kW and
100kW installed at an appropriate distance
from immovable property of any third party,
and producing electric power;
c) hydro power plants between 50kW and 10
000kW installed in stable water flow with no
water storage;
d) power plants producing heat and electric
power by means of gas or other fuel and
approximately 80 percent of which is
obtained from biomass (except for natural
firewood);
e) an emergency power plant which is an
independent source of electrical power
running on fuel and producing electricity
in case of the occurrence of interruptions in
the general power supply.
Energy saving policy is the state policy
conducted through legal, organizational,
financial and economic regulation of the
processes relating to the efficient and rational
use, storage, record-keeping and consumption
of energy resources.
Efficient management of energy resources
is the economically rational use of energy
resources by minimizing anthropogenic
influence on the environment given the current
state of development of equipment and
technology.
Standard for consumption of energy
resources is the controlled quantity of energy
resources used for a specific production activity,
product, work or service.
Electric power industry is the sector of
the economy engaged in the generation,
transmission, distribution and sale of electric
power to the general public.
Power supplier is a legal entity ensuring the
supply of power to people and other consumers
based on a special permit (license).
Electric power system is a network of
electric power plants, substations and power
transmission lines coordinated with a unified
technological process to supply, transfer and
use electric power, including the association of
enterprises (systems) managing the aforesaid
process.
Power facilities - equipment for and related
structures engaged in the production,
transmission and distribution of electric power.
Regional heat plants - technical equipment
for and related structures engaged in the
production, transmission and distribution of hot
water, steam and other heat resources required
within the boundaries of a certain territory.
Activitiesintheareaofpowerindustry-types
of activity for the exploration, development,
extraction, production, processing, storage,
transportation, distribution and consumption
of energy industry materials and products
(energy resources).
Exploration (or survey) in the area of power
industry - the activity conducted preliminarily
for the same purposes which are pursued
during field development, and implemented by
means of magnetometric, gravimetric, seismic,
geochemical, heating and radiometric methods
and test drilling works.
KEY DEFINITIONS

Alternative energy comprises all types
of heat and electric power produced from
other (renewable) sources that can replace
or supplement traditional fossil-fuel
sources, such as coal, oil, and natural gas;
Renewable energy sources is generally
defined as energy that has the potential
to be collected from resources which are
naturally replenished on a human timescale,
such as sunlight, wind, rain, tides, waves,
and geothermal heat, etc.);
Hydro power is power derived from the
energy of falling or fast running water, which
may be harnessed for useful purposes by
converting the energy of the flowing water
into mechanical energy;
Wind power is the use of airflow through
wind turbines to mechanically power
generators to provide electricity;
Solar power is the conversion of sunlight
into electricity, either by photoelectric or
thermodynamic methods;
Biomass energy (bio-energy) is heat and
energy power generated by using fuel
obtained from the processing of biological
raw materials such as livestock manure,
rotten or decaying mass, plants, etc;
Geothermal energy is a form of energy
produced by extracting the earth’s internal
heat which is generated in its core
Small hydro plant is a small scale
hydropower system (50-10000kW) with
no water storage that captures the energy
of flowing water and converts it to usable
(mechanical or electrical) energy;
Wind power plant is a facility for converting
the kinetic energy of air masses into electric
power.

ARES Alternative and Renewable Energy
Sources
AREA State Agency for Alternative and
Renewable Energy Sources of the
Republic of Azerbaijan
HPP Hybrid Power Plant
SPP Solar Power Plant
WPP Wind Power Plant
SHP Small-scale Hydro Plant
HAPP Hydro-Accumulation Power Plant
MMC Measurement, Monitoring and
Control unit
AERC Agro-Energy Residential Complex
STP Sumgayit Technologies Park
ACRONYMS

Aboem jurnal 280x210 eng

Recommended

Recommended

More Related Content

What's hot

What's hot (6)

Similar to Aboem jurnal 280x210 eng

Similar to Aboem jurnal 280x210 eng (20)

Recently uploaded

Recently uploaded (20)

Aboem jurnal 280x210 eng