Tehran, Moscow advance plan for 1,000-MW power grid link via Azerbaijan

A proposed electricity grid connection between Iran and Russia via Azerbaijan has entered a new phase following talks between the two countries’ energy ministers, with the project aimed at enabling power exchanges of up to 1,000 megawatts, a senior Iranian energy official said on Tuesday.
Mostafa Rajabi Mashhadi, Iran’s deputy energy minister for electricity and energy, said the plan was technically and economically “viable” and was designed to facilitate the exchange of 1,000 MW of electricity, IRNA reported.
“The project, by taking advantage of the difference between peak electricity demand in the two countries during the summer and winter seasons, is economically viable and helps ensure the stability of the power grid,” he said.
In a meeting on Monday, Iranian Energy Minister Abbas Aliabadi and Russian Energy Minister Sergei Tsivilev in Tehran reviewed progress on a roadmap for bilateral cooperation in the electricity sector.
They reviewed the economic and political conditions for a proposed electricity grid connection linking Iran and Russia via Azerbaijan, based on economic studies conducted in 2019, and discussed establishing a trilateral working group involving the energy ministers of the three countries.
Rajabi Mashhadi said the technical infrastructure required for the interconnection had already been successfully tested.
“We now plan to begin with the transfer of 300 MW in the first phase and expand the project to up to 1,000 MW of electricity between the two countries,” he said.
The official noted that one of the key aspects of the agreement was making use of the seasonal difference between Iran’s summer peak demand and Russia’s winter peak demand.
“Given the seasonal difference in peak demand between the two countries, the exchange can be carried out either as an energy swap or through purchases and sales in local currencies, making it economically attractive and viable for both sides,” he said.
Rajabi Mashhadi said the Russian energy minister had taken a positive view of the project during the talks.

“In the past, there may have been differing views on the project’s economic viability, but today the Russian side has explicitly stated that, given developments in the energy sector, the project is not only fully feasible but also economically viable and strategic,” he said.
“At present, priority is being given to addressing Azerbaijan’s technical concerns so that, with full confidence in grid stability and technical coordination, this trilateral connection can be realized,” he added.

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