On the outskirts of Baku, the smell of sulfur hangs thick in the air. Flares from oil refineries light up the night sky, a constant reminder of the industry that has dominated Azerbaijan for over a century. The country has vast, untapped potential for renewables, particularly wind and solar, which could redefine its energy future. But as the postcard images of Baku’s Flame Towers highlight, Azerbaijan’s energy outlook remains dominated by fossil fuels.
Azerbaijan has the potential to be a renewable energy powerhouse. The county’s offshore wind potential in the Caspian Sea is estimated at 157 GW – vastly exceeding its current total power capacity of 8 GW from all sources – with signed deals with Masdar and Fortescue Industries promising an additional 22 GW. Meanwhile the sun-baked Aran region, where temperatures regularly hit 40°C (104°F), could host solar farms to rival those in sunbelt countries.
Yet,…
