ADB to help modernize electricity grid in Azerbaijan

The Asian Development Bank (ADB) will engage an international consulting company to prepare a feasibility study and conduct due diligence for the project on the modernization and digitalization of Azerbaijan's electricity distribution network, Report informs, citing the ADB.

The budget for the consulting services stands at $350,000. The contract execution period is 12 months, with an estimated start date of January 18, 2027.

Azerishig OJSC will act as the executing and implementing agency for the project.

The consultant is tasked with preparing a feasibility study for the project to modernize and digitize the country's electricity distribution infrastructure.

The project includes: the construction and modernization of 110 kV and 35 kV digital substations, as well as associated power transmission lines; the installation of remotely controlled distribution transformer points and medium/low voltage lines; the implementation of Supervisory Control and Data Acquisition (SCADA) systems, telecommunication infrastructure, Advanced Distribution Management Systems (ADMS), and Advanced Metering Infrastructure (AMI); and the execution of measures to reduce electricity losses and enhance the grid's resilience to the integration of renewable energy sources.

Furthermore, the consulting company will assess technical, economic, financial, environmental, and social risks (including issues of climate resilience and digital security), develop a procurement plan, and prepare a program for the institutional development of Azerishig OJSC staff.