TA 8119 NAMA Report_FINAL_Appendix 5 NAMA Registry Submission Form _ AZE Renewable Energy
G.1 Amount 0.116
– 0.584
G.2 Unit MtC02e/yr
G.3 Additional information (e.g. if available, information on the methodological approach followed):
The potential GHG emission reductions are estimated in
the Long-range Energy Al-
ternatives Planning tool and are based on the assumption that the following renewable
energy capacity will be installed at the Samukh Complex:
Phase 1 will include development of 14.1 MW of installed electricity and heat capacity from
renewable energy sources, including: A solar PV power plant with installed capacity of 6
MW (PV panels with 2.8 MW of generating capacity have already been installed); a biogas
plant with 0.75 MW electric and 0.75 MW heat-generating capacity that will use cattle ma-
nure from the cattle-breeding and milk farms, together with vegetative waste from planta-
tions, greenhouses, and processing facilities; a geothermal plant with 0.6 MW heat-
generating capacity, used primarily to heat residential buildings, greenhouses, and farms. A
feasibility study is in process; and a solar thermal plant with installed capacity of 6 MW.
Phase 2 foresees the development of an additional 21.25 MW electric-generating capacity
and 41.65 MW heat-generating capacity from renewable energy sources, including: solar
units with 14 MW electric-generating capacity and 32 MW heat-generating capacity; a bio-
gas plant with 7.25 MW electric-generating capacity and 7.25 MW heat-generating capaci-
ty; and a geothermal installation with 2.4 MW heat-generating capacity
These facilities are expected to result in direct GHG emission reductions of 116,825 tCO
2
e
year by 2020. The potential additional emission reductions from replicating Samukh at 5
other sites are roughly estimated by multiplying year 2020 GHG emission reductions by 5.
That is, additional GHG emission reductions would be 116,825 tCO
2
e/year * 5 = 584,125
tCO
2
e/year, which equals 4.21% of 2020 baseline GHG emissions from electricity and heat
generation in Azerbaijan. However, this number is highly uncertain. SAARES has just initiat-
ed feasibility studies at the five other sites planned for replication.
The GHG impact of the
renewable energy NAMA will therefore depend on the success of the Samukh complex and
on the technical feasibility of installing renewable energy capacity at the other sites.
The estimate does not yet include the potential GHG emission reductions that can be
achieved by changing the regulatory and normative framework governing renewable ener-
gy, since the details of the proposed changes have not yet been agreed upon.
H.1 Other indicators of implementation
I.1 Other relevant information including co-benefits for local sustainable development
Expected benefits of the NAMA include:
(i) increased agricultural production in
the region, providing food and other agricultural prod-
ucts to the residents of Samukh and the city of Ganja;
TA 8119 NAMA Report_FINAL_Appendix 5 NAMA Registry Submission Form _ AZE Renewable Energy
(ii) creation of new jobs and addition of new sources of income in a region where job creation is
slowing. According to the State Statistical Committee, 1,067 new permanent jobs were cre-
ated in 2005 versus 308 permanent jobs in 2013, indicating a slower rate of job creation
compared to other parts of the country.
(iii) indirect stimulation of agricultural development in the region, through creation of demand
for processing of local food products (i.e., milk, fruit, poultry);
(iv) access to less expensive energy or other supporting products and services (livestock feed,
technical and repair
facilities, veterinary care, etc.);
(v) alleviation of some of the regional social, cultural, and environmental problems caused by
lack of socioeconomic opportunity;
(vi) decreased urban flight of the younger generation and improved
demographic stability in the
region;
(vii) resettlement and re-employment of internally displaced persons from the Nagorno-
Karabakh conflict area;
(viii)
resolution of environmental problems related to agricultural waste and suboptimal
use of water resources for irrigation;
(ix) increased food security through new domestic agricultural production that meets the de-
mands of
a growing population; and
(x) improved energy security through the development of domestic renewable energy re-
sources to meet growing energy demand.
J Relevant National Policies strategies, plans and programmes and/or other mitigation action
J.1 Relevant National Policies
In 2011, the President of the Republic of
Azerbaijan set a
target for alternative and renewable energy and directed SAARES to develop a strategy for meeting
the target. The target specifies that 20% of electricity consumption by 2020 must come from elec-
tricity generated from renewable sources. In addition, by 2020 renewable energy sources must ac-
count for 9.7% of total energy consumption and 2,000 MW of renewable energy capacity must be
installed. SAARES
is harged ith a hie i g the go er
e t’s goals for i reasi g alternative and
renewable energy sources and diversifying the economy. In December 2014, SAARES released its
strategic plan for 2015
–2018. The plan calls for (a) increasing renewable energy capacity, (b) modify-
ing existing norms and regulations to provide incentives for the private sector to develop renewable
energy sources, (c) developing and making available
preferential loans, (d) increasing technical ca-
pacity, (e) improving institutional arrangements that support the tracking and evaluation of renewa-
ble energy, and (f) conducting education and outreach activities. According to the strategic plan,
SAARES will construct 187 MW of wind, 369 MW of solar, 63 MW of bioenergy, and 116 MW of hy-
dropower capacity between 2015 and 2018, totaling 735 MW of new alternative and renewable
energy.
J.2 Links to other mitigation actions