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UAE's Masdar targets 10 GW in Azerbaijan for hydrogen push - envoy

BAKU, Azerbaijan, June 26. Emirati Masdar is targeting up to 10 GW of renewable capacity in Azerbaijan as the UAE pushes to help the country become a regional green hydrogen hub, the UAE Ambassador to Azerbaijan told in an interview with Trend, TurkicWorld reported.

The UAE does not view economic growth and climate action as competing forces, the ambassador said, stressing that the country's approach is built on pragmatism rather than ideology.

"An orderly, just, balanced, and equitable energy transition is one that reflects different national circumstances, development priorities, and energy needs. For an energy transition to succeed globally, pathway choices must advance emissions reduction while strictly ensuring energy security, affordability, reliability, and system stability," he said.

He explained that Abu Dhabi rejects the idea of picking technological winners and losers in the energy sector.

"We should not be in the business of picking winners and losers among technologies; we should be focused on absolute emissions reduction. A technology-neutral framework allows countries to utilize the most suitable tools and technologies according to their specific national contexts. Whether it is expanding renewables, scaling low-carbon hydrogen, optimizing energy efficiency, utilizing energy storage, or deploying other low-carbon technologies, every nation must have the flexibility to design its own optimal energy mix," the ambassador noted.

He pointed to Masdar - the UAE's state-backed clean energy company - as the clearest expression of this philosophy in action. The company has built a renewable portfolio spanning more than 40 countries across six continents, with a capacity of 65 GW and a stated target of 100 GW by 2030. The UAE also hosts the International Renewable Energy Agency (IRENA) in Abu Dhabi.

Masdar scales up green hydrogen push in Azerbaijan

Asked about Emirati companies' interest in Azerbaijan's green hydrogen sector, the ambassador described the bilateral energy relationship as one that is expanding rapidly, with Masdar serving as the primary driver.

"Masdar has signed major implementation agreements with the Ministry of Energy of Azerbaijan that include a specific focus on green hydrogen. Our multi-gigawatt onshore wind and solar agreements explicitly incorporate complex measures to utilize wind power for the production and export of green hydrogen, aiming to decarbonize local industries and position Azerbaijan as a premier green energy exporter to Europe," he said.

The ambassador noted that building a green hydrogen economy requires a solid renewable electricity base first - and Masdar is investing heavily in that foundation. He pointed to the 230 MW Garadagh Solar PV Plant, the largest solar facility in the Caspian region, as a starting point from which Masdar and SOCAR Green are now scaling up further, with the Bilasuvar and Neftchala solar projects currently in execution and an ultimate shared vision of up to 10 GW of clean energy capacity in Azerbaijan.

Offshore wind is also on the agenda. At COP29 in Baku, Masdar, SOCAR Green, and ACWA Power signed a Memorandum of Understanding to explore 3.5 GW of offshore wind projects in the Caspian Sea.

"This agreement directly supports Azerbaijan's plans to develop its offshore wind resources to power green hydrogen production and water desalination projects," the ambassador said.

He drew a parallel between the two countries' energy histories, noting that both the UAE and Azerbaijan built their prosperity on hydrocarbons before pivoting toward clean energy.

"By combining Azerbaijan's incredible natural wind and solar bounty with the UAE's capital, innovation, and international project execution expertise, Emirati companies are fully committed to helping Azerbaijan emerge as a central hub for the regional and transregional green hydrogen economy," he added.

Bilateral ties anchored by landmark CEPA

Beyond energy, the ambassador said the broader economic relationship between the two countries has moved well past traditional diplomacy.

"The economic relationship between the United Arab Emirates and Azerbaijan has transitioned from traditional diplomatic ties into a deep, institutionalized, and highly strategic partnership," he said.

He cited the UAE-Azerbaijan Comprehensive Economic Partnership Agreement (CEPA), which has officially entered into force, as the cornerstone of that shift - setting a roadmap focused on expanding non-oil trade, accelerating renewable energy projects, developing digital infrastructure, and promoting mutual investments.

UAE launches Global Energy Efficiency Alliance

The ambassador also outlined the UAE's Global Energy Efficiency Alliance, built on the momentum of the COP28 Global Renewables and Energy Efficiency Pledge. The initiative supports the global goal of doubling the annual rate of energy efficiency improvements - from roughly 2% to over 4% - by 2030.

"Energy efficiency is one of the most practical, immediate, and cost-effective tools for reducing emissions, lowering costs, improving competitiveness, and strengthening energy resilience," he said.

The Alliance focuses on implementation through technology, standards, digital tools, capacity-building, financing, and private-sector engagement - areas where, the ambassador argued, countries can make measurable progress quickly across buildings, industry, transport, power systems, and urban infrastructure.

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