Market Size of Azerbaijan Renewable Energy Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Volume (2024) | 8.17 gigawatt |
| Market Volume (2029) | 9.66 gigawatt |
| CAGR (2024 - 2029) | 3.40 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Renewable Energy in Azerbaijan Market Analysis
The Azerbaijan Renewable Energy Market size is estimated at 8.17 gigawatt in 2024, and is expected to reach 9.66 gigawatt by 2029, growing at a CAGR of 3.40% during the forecast period (2024-2029).
The market was negatively impacted by the outbreak of COVID-19 due to delays in ongoing and upcoming projects. Currently, the market has rebounded to pre-pandemic levels.
- Factors such as diversifying the economy of the country and decreasing its dependence on the oil and gas sector are some of the key points in the country's Strategic Road Map on National Economic Perspectives, which is expected to drive the renewable energy market in Azerbaijan. Moreover, diversification of the energy mix offers multiple benefits, including job creation and energy security, further promulgating the renewable energy market in the country.
- However, the lack of international companies' investments and the delay in the practical deployment of projects are expected to hinder the market's growth.
- Azerbaijan's oil sector accounts for one-third of its economy, with exports of crude oil having a significant share. The country plans to generate additional revenue through crude oil exports, demanding a decrease in domestic consumption of oil and gas in the upcoming years. Therefore, renewables are expected to increase their share in the energy mix, further creating several opportunities for market players in the near future.
