Azerbaijan plans FID on Caspian-Black Sea-Europe Green Energy Corridor in 2029

Azerbaijan expects to approve the final investment decision on the Caspian-Black Sea-Europe Green Energy Corridor project, featuring a transmission capacity of 4 GW, in 2029, Minister of Energy Parviz Shahbazov stated at the opening of the forum titled "Green Energy Corridor: From Feasibility Study to Implementation" in Baku, Report informs citing the Ministry of Energy.

According to the minister, a study completed in July confirmed the technical feasibility and economic attractiveness of the project, a key element of which is laying a submarine cable along the bottom of the Black Sea at a depth of up to 2,200 meters. The phased commissioning of the nearly 3,000-kilometer corridor is scheduled to begin in 2032, and from 2040, the volume of green electricity supplies to Europe should reach about 20 billion kWh per year, which will reduce carbon emissions by 3.6 million tons.

A hybrid business model combining long-term power purchase agreements, the attraction of private capital, and cross-border trade is being considered for the project's implementation.

Representatives of the World Bank, EIB, EBRD, ADB, SOCAR Green, Masdar, ACWA Power, TotalEnergies, Siemens Energy, and other leading international institutions and companies joined the discussion on commercial and investment prospects.