Azerbaijan has announced the commissioning of the 100 MW Gobustan solar power plant
It is the first renewable energy project awarded through an auction in the country
China’s Universal International Holdings won the project in 2024 for $0.0354/kWh as the lowest winning bid
Azerbaijan has commissioned the 100 MW Gobustan Solar Power Plant in Baku’s Garadagh district. Inaugurated by President Ilham Aliyev, the government said this is the country's first renewable energy project implemented through an auction process.
Once fully commissioned, it is expected to generate around 200 million kWh of electricity annually. According to the Azerbaijan President’s office, this output is projected to save about 45 million m³ of natural gas annually and cut carbon emissions by 97,000 tons.
The Gobustan project was developed by China’s Universal International Holdings Limited, which won the auction for the site in 2024. Part of Shanghai-based Universal Energy, which provides green energy and energy storage system solutions, Universal International made the lowest bid of $0.0354/kWh to win the auction (see Chinese Company Wins Azerbaijan’s Maiden Renewable Energy Auction).
The Gobustan project is also Universal Energy’s first project in Azerbaijan. More Chinese companies are interested in exploring this market. Sichuan Sunsync has proposed to develop a solar panel manufacturing plant in the country, while POWERCHINA is exploring solar, wind, smart energy systems, and green hydrogen projects (see Chinese Companies Eye Solar PV Market In Azerbaijan).
With the addition of Gobustan, the country’s total renewable energy capacity is expected to reach 2.17 GW across 85 power plants. This includes 378.2 MW of solar capacity from 10 solar plants, along with hydro, wind, hybrid, and biomass facilities. Renewable energy is expected to account for about 21.5% of Azerbaijan’s total power generation capacity following the plant’s commissioning.
The country also plans to implement renewable energy projects totaling about 1.5 GW by the end of 2027, according to the President’s office. Azerbaijan’s technical potential for green energy is 135 GW onshore and 157 GW offshore, while the economic potential is estimated at 27 GW, including 23 GW of solar, 3 GW of wind, 380 MW of bioenergy, and 520 MW of mountain river.
