Azerbaijan has taken a significant step towards its goal of reducing carbon emissions from its railway sector to zero, securing $1,25 million in financing from the Asian Development Bank (ADB) to implement this ambitious programme. This support clearly demonstrates the country’s commitment to a sustainable transport future.
Of the financing, USD 1 million will come from the ADB’s Innovative Finance Facility for Climate in Asia and the Pacific (IF-CAP), ADB’s innovative financing mechanism to combat climate change in the Asia and the Pacific region. The remaining USD 250.000 will be provided through ADB’s Technical Assistance Special Fund.
Azerbaijan's Decarbonization Target and Current Situation
Azerbaijan aims to completely eliminate carbon emissions from its railway sector by 2030. This ambitious goal is an important part of the country’s vision for combating climate change and sustainable development. Azerbaijan’s commitment to this issue was also demonstrated by its participation in the United Nations Global Compact in 2023 and the conduct of a network assessment. This assessment found that railway transport accounts for less than 0,5% of the country’s greenhouse gas emissions. This relatively low rate indicates significant potential for decarbonization of the railway sector.
Strong Collaborations for Green Transformation in the Railway Sector
Azerbaijan’s efforts to accelerate the green transformation of its railway sector are also supported by international collaborations. In November 2024, Azerbaijan Railways (ADY) and Masdar, a renewable energy company based in the United Arab Emirates (UAE), signed a significant agreement. This agreement outlines a roadmap for the gradual decarbonization of the country’s rolling stock. The plan includes converting existing diesel-fueled trains to electric traction trains and increasing the share of renewable energy sources in meeting the railways’ energy needs. Masdar’s active role in renewable energy projects in Azerbaijan is also noteworthy. The company is involved in various clean energy development projects in the country, including solar and wind power plants with a total capacity of up to 10 GW. This collaboration will provide significant momentum in Azerbaijan’s efforts to decarbonize its railways.
International Support Grows for Modernization of Transportation Infrastructure
International support for Azerbaijan’s sustainable transport goals is not limited to ADB and Masdar. In the same month, Azerbaijan’s Ministry of Digital Development and Transport signed a memorandum of understanding with the European Investment Bank (EIB). This agreement includes plans to improve and expand the Baku Metro to encourage a shift from private car use to public transport in order to reduce greenhouse gas emissions. This cooperation is seen as an important step towards modernizing and increasing the capacity of the capital’s public transport infrastructure.
These comprehensive measures by Azerbaijan demonstrate a strategic and holistic approach to reducing carbon emissions in the transport sector. The country is taking important steps towards a clean and efficient transport system, with strong support from international partners for the sustainable development of its railway and metro infrastructure.
