Carlo Beltrame, Area Manager for the Caspian region and Ukraine at Baker Hughes, recently revealed the promising prospects for geothermal energy in Nakhchivan. This autonomous region of Azerbaijan could become a key hub for renewable energies, thanks to its hot springs and significant water reserves. The planned projects aim to transform Nakhchivan into a green zone, symbolizing the country’s energy transition. Nakhchivan’s geothermal potential is underpinned by favorable natural features. Identified hot wells are essential for the exploitation of geothermal energy. However, further exploration is needed to fully assess energy capacities and determine the best sites for development.
Technical Challenges and Market Opportunities
Exploring geothermal resources in Nakhchivan presents technical challenges that require investment in research and development. Companies specializing in renewable energies see a unique market opportunity here, offering potentially high returns on investment. Discussions at the 29th Baku Energy Forum highlighted the importance of public-private partnerships in overcoming these challenges. Supportive policies and tax incentives could attract investors and accelerate the development of geothermal projects.
Financing and future prospects
Financing geothermal projects in Nakhchivan is a crucial issue. Investors need to weigh up the potential risks and rewards. Government support, in the form of subsidies and financing facilities, will be decisive in attracting foreign and local capital.
Future prospects are promising. The transformation of Nakhchivan into a green zone could serve as a model for other regions. This initiative would help to diversify Azerbaijan’s energy mix and strengthen its energy security.
