The partners behind the "Shafag" solar project in Azerbaijan’s Jabrayil district—BP, SOCAR Green, the Azerbaijan Business Development Fund, and MVM—have announced a significant milestone: the start of solar panel installation at the site.
According to the update, the first panel was installed earlier this month, and construction activities remain on track.
Nadir Imanov, BP’s Vice President of Finance for the Azerbaijan, Georgia, and Türkiye region, stated: "Reaching this construction milestone is a positive step. Together with our partners, we are making steady progress in Jabrayil and remain committed to delivering the project safely and efficiently. This landmark solar initiative will generate renewable electricity, support the decarbonisation of our regional operations, and contribute to Azerbaijan’s energy transition."
Since the final investment decision was made last year, the project has advanced considerably. Key equipment, including photovoltaic modules, piles, and structural components, has been successfully procured and delivered. Installation of piles and tracking systems is also well underway, with approximately 30% already in place.
The project prioritises the use of local resources and is expected to create up to 400 jobs at peak construction. Currently, around 350 people are employed on site, 123 of whom come from nearby liberated areas.
Construction is scheduled for completion in 2027. The 240 MW solar plant is forecast to generate roughly 500 GWh of renewable energy each year.
The $200 million Shafag project, approved in June 2025, involves building a new 240 MW AC solar facility in the Jabrayil district.
This initiative is connected to the Sangachal Terminal Electrification (STEL) project through a novel commercial model known as a "virtual power transfer arrangement." That mechanism will allow the terminal to link to the national grid (operated by AzerEnerji) using new infrastructure both inside and outside the terminal, including a new 220/110 kV substation.
Together, the Shafag and STEL projects are expected to help cut operational emissions by around 50% over the remaining life of the Sangachal terminal, based on current forecasts. After the terminal is electrified, the seven gas turbines currently used for on-site power generation will be phased out, freeing up fuel gas for export.
The ownership structure of Shafag (Jabrayil) Solar Limited (SJSL) is as follows: bp – 40.01%, SOCAR Green – 39.99%, Azerbaijan Business Development Fund – 10%, and MVM – 10%.
https://renewables.az/en/news/bp-installs-first-solar-panel-at-azerbaijan-s-240-mw-solar-project