First Solar Panel Installed in Jabrayil within Shafag Project

The investors of the Shafag (Jabrayil) solar project, bp, SOCAR Green, the Azerbaijan Business Development Fund, and MVM, announce that the project is moving to the next phase with the start of solar panel installation at the project site located in Jabrayil district. With the installation of the first solar panel earlier this month, construction work on the project continues to progress according to plan.


Nadir Imanov, bp's Vice President for Finance for the Azerbaijan, Georgia, and Turkey region, said: “We are very pleased with the start of this important phase in the construction work on the project. Together with our partners, we are confidently advancing construction work, focusing our main attention on the safe and efficient implementation of the project. We believe that this important project will contribute to Azerbaijan's energy transition efforts by supporting the renewable electricity generation sector and the decarbonization of our operations in the region.”

Construction work on the Shafag solar energy project has advanced significantly since the final investment decision was made last year. The supply and delivery of key equipment, including photovoltaic modules, piles, and structural components, have been successfully completed. Significant progress has also been made in the installation of piles and tracker systems, with approximately 30% of this equipment already installed.

Maximizing the use of local resources in the project's construction work is one of the main commitments – it is expected that nearly 400 jobs will be created during the peak period of work. Currently, approximately 350 local workers are involved in the project, 123 of whom are residents settled in the liberated territories.

Construction work is planned to be completed in 2027. This 240 MW station being built in Jabrayil is expected to produce approximately 500 GWh of renewable energy annually.

It should be noted that the Shafag (Jabrayil) solar project, approved in June 2025 and valued at 200 million US dollars, envisages the construction of a new 240 MW AC solar power plant in Jabrayil district.

The project is closely linked to the Sangachal Terminal Electrification (STEL) project through a new commercial model called the “virtual energy transmission mechanism.” According to this mechanism, the Sangachal Terminal will be connected to the state electricity grid managed by AzerEnergy OJSC. For this purpose, new facilities, including a new 220/110 kV electrical substation, are being built both within and outside the terminal area.

Based on current forecasts and plans, the Shafag and STEL projects together will enable a reduction of approximately 50% in emissions from terminal operations during the future operational period of the Sangachal Terminal.

Currently, the terminal uses seven gas turbines to meet its energy needs. After electrification, the turbines will be gradually dismantled, which will allow unused volumes of fuel gas to be directed for export.

The participation shares in SJSL company are as follows: bp 40.01%, SOCAR Green 39.99%, Azerbaijan Business Development Fund (ABIF) 10%, and MVM 10%.