On September 13, the Report news agency presented an interview with Shanxiang Wu, the Country Manager of China Energy International Group Co. Ltd., who discussed the development of renewable energy in Azerbaijan, the export of green hydrogen and ammonia, and expectations from COP29.

Wu noted that Azerbaijan has increasingly focused on renewable energy as part of its long-term strategy to diversify its energy sector and reduce its carbon footprint. He emphasized that several solar and wind projects and a recent solar auction have positioned the country well for growth. However, he classified Azerbaijan's renewable energy development as intermediate compared to other countries with similar potential, stating that there is still room for improvement in the electricity market, industrial chain, and financing. Wu suggested that regulatory reform, grid modernization, and green financing are essential steps for sustaining growth in the sector.

Wu confirmed that China Energy is actively expanding its presence in Azerbaijan's renewable energy sector through its subsidiary companies. He highlighted the signing of a Memorandum of Understanding in June 2023 between the Ministry of Energy of Azerbaijan and CGGCOIC. This agreement focuses on large-scale renewable energy projects, including solar, wind, energy storage, and green hydrogen. Additionally, China Energy is strengthening its partnerships with local companies such as SOCAR Green and Nobel Energy.

Wu pointed to the strategic partnership established between China and Azerbaijan, formalized during a meeting between Presidents Xi Jinping and Ilham Aliyev at the Shanghai Cooperation Organization summit in Astana on July 3, 2024. This partnership emphasizes green energy and regional interconnection, aligning with Energy China's work on Green Energy Zone and Green Energy Corridor initiatives. Wu also highlighted the potential for integrating energy, transportation, digital, ecological, and industrial networks, which Energy China sees as promising areas for cooperation.

Wu outlined several opportunities for Azerbaijan amid the global shift to clean energy. He mentioned the dual carbon target as a key driver for renewable energy development and the restructuring of the energy industry. Wu also noted that reducing domestic oil and gas consumption while increasing export capacity would be another benefit. He identified technological innovation, industrial chain development, and ESG (Environmental, Social, and Governance) financing as critical measures to achieve these goals.

Wu highlighted the potential of green energy corridors and the export of green hydrogen and ammonia as significant opportunities for both China and Azerbaijan. These projects align with Azerbaijan's ambition to play a central role in the regional and global energy supply chain. Wu emphasized that the green energy corridor aims to balance Caspian Sea renewable energy production with European consumption demand. Collaboration would focus on energy storage projects, low-loss power transmission, integration with the EU energy system, and green financing. However, Wu noted that the economic feasibility of green hydrogen and ammonia projects is still under investigation.