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Nazrin Abdul

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Azerbaijan has firmly positioned itself as a leading force in the green energy transition, actively driving renewable energy initiatives across the region. Serving as a vital bridge between Europe and Asia, Azerbaijan has cultivated strong strategic partnerships with Central Asian nations, particularly Kazakhstan and Uzbekistan, to create a comprehensive framework for cooperation across multiple economic sectors. At the core of this expanding collaboration is a landmark agreement on the development and transmission of green energy, designed to tap into the region’s renewable resources, cut carbon emissions, and enhance energy security. With this agreement, Azerbaijan reinforces its role as a key advocate for sustainable energy solutions, fostering innovation, cross-border cooperation, and long-term economic growth.

In a significant step forward, the Milli Majlis (Parliament) of Azerbaijan has approved the Agreement on Strategic Partnership in the field of development and transmission of green energy between Azerbaijan, Kazakhstan, and Uzbekistan. The approval was granted during the first plenary meeting of the 2025 spring session, with the draft law being adopted in the first reading.

The Agreement on Strategic Partnership in the Field of Development and Transmission of Green Energy was signed by the three countries to establish a new strategic framework for cooperation in the energy sector. It was signed by the heads of state during the 29th session of COP29 in Baku last November. This agreement is a significant step toward the development of green and renewable energy, ensuring energy security, and contributing to sustainable development goals.

The agreement’s main objective is to foster green energy development in line with the Paris Climate Agreement’s greenhouse gas emission reduction targets. The parties will collaborate on producing, transmitting, and trading renewable energy, while also advancing green hydrogen and green ammonia technologies.

Besides, the project will also facilitate the export of renewable energy to Europe and other markets by strengthening energy system integration between Central Asia and the South Caucasus. This cooperation will support the development of the Middle Corridor and deepen Azerbaijan's integration with Central Asia. As President Ilham Aliyev emphasized, the project opens new avenues for cooperation between Central Asia and the Caucasus, with an electric cable to be laid under the Caspian Sea, broadening the cooperation beyond the three countries.

To implement the agreement, the Green Corridor Union, a joint venture, was established between Azerenergy OJSC, Kazakhstan Electric Network Operating Company, and Uzbekistan National Electric Network JSC. This joint venture will manage the feasibility study and project implementation.

The agreement, which is open-ended, will allow for more effective long-term cooperation and the achievement of sustainable development goals. It will increase investments in renewable energy projects, explore energy lines across the Black Sea, and improve energy production efficiency through new technologies. A Steering Committee and Working Group will be set up to ensure the agreement’s execution and develop strategic plans for enhanced cooperation.

For Azerbaijan, this agreement holds great significance for expanding energy transit opportunities and reinforcing its leadership in green technology. The natural resources of Kazakhstan, Uzbekistan’s strategic position, and Azerbaijan’s energy infrastructure create opportunities for mutual benefits.

Beyond energy, this agreement strengthens the historical friendship between Azerbaijan, Kazakhstan, and Uzbekistan, turning them into a joint powerhouse on the global stage. The three countries' efforts to enhance energy security and reduce carbon emissions will contribute to the region's sustainable development goals.

The development of green energy and energy transit under this agreement will bolster the countries' positions in both European and Asian energy markets, significantly contributing to regional economic growth.