BP signs deal with Azerbaijan for Karabakh solar plant

BAKU, June 2, 2025 – BP and the government of Azerbaijan have signed agreements for the construction of a 240-MW solar power plant in Karabakh, Reuters reported on Monday.

The plant, which will be located in the region retaken by Azerbaijan in 2023, is expected to cost around USD 200 million and be completed by mid-2027. BP unveiled the project during an energy conference in Baku.

“This project demonstrates our commitment to support Azerbaijan’s energy transition and the development of renewable energy. It is an important step in our collaboration with the government and our long-term partnership,” BP vice-president for the Caspian region Bakhtiyar Aslanbayli said.

Azerbaijan has been accelerating its push into solar energy as part of its broader strategy to diversify its energy mix and reduce reliance on fossil fuels. The government aims to develop 1.5 GW of solar capacity by 2030, supported by foreign investment and public-private partnerships, particularly in the territories of Karabakh and East Zangazur.

BP has operated in Azerbaijan for three decades and is the country’s largest foreign investor. It leads the development of major upstream projects including the Azeri-Chirag-Gunashli oilfield and the Shah Deniz gasfield, and is a key participant in the Southern Gas Corridor transporting gas to Europe.

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