This project is placed within the existing national framework of Azerbaijan and provides a particular focus on a programmatic NAMA approach that reflects specific greenhouse gas mitigation measures to be implemented by SOCAR, the national oil company of Azerbaijan.
The specific objective of the project is to support SOCAR in the development and implementation of selected programmatic NAMAs in the low-carbon end-use sectors, where pilot investments will be directed into low energy and low carbon technologies that are so far missing on a large scale on the Azeri market. The concept of NAMAs represents a valuable opportunity for a large enterprise, such as SOCAR, to developing and implementing a large scale GHG mitigation program that is in line with the company’s long-term sustainable development strategy and simultaneously will target the country’s institutional & policy framework, address appropriate mechanisms and result in activities to realise significant GHG emission reduction achievements in the long term.
The proposed project is set within the country’s ambitions to reduce GHG emissions and energy intensity of major energy end-use sectors in Azerbaijan and simultaneously introduce innovative energy efficiency and renewable energy technologies in main energy end-use sectors such as buildings and transportation systems.
The project will address on the one hand the existing potential to improve the energy performance of main end-use sectors on the Azeri market, namely buildings (new and existing residential, service and public buildings) and transportation (passenger cars, trucks, buses, special purpose vehicles). On the other hand, the oil & gas production sector being one of the main sources for GHG emissions in Azerbaijan, will be addressed in terms of mitigation activities that will indirectly benefit the energy end-use in the country through capturing of associated gases evaporating from existing on-shore oil and gas fields and utilising the gas as a fuel source for nearby residential areas that are otherwise affected by large-scale deforestation activities.
The project has been organised around four outcomes and will be implemented over a period of five years.
- Outcome 1: Assessment of GHG emission mitigation potentials and voluntary target setting;
- Outcome 2: Design & establishment of NAMAs in oil & gas end-use sectors;
- Outcome 3: Implementation of a set of (up to 3) project NAMAs in the oil & gas end-use sector;
- Outcome 4: Monitoring, Reporting & Verification system and national registry for mitigation actions in the energy generation and end-use sectors to be set up.