The history of electric power in Azerbaijan is rich and full of development stages. The formation and development of this sector is closely related to both technical progress and the growth of the country's economic and industrial potential, and has played an important role in the country's industrial and economic development.

     The history of electric power in Azerbaijan can be divided into the following stages:

1. Initial period (late 19th century - early 20th century)

• 1895 - The first power plant was commissioned in Azerbaijan (now Baku). This plant was built mainly to meet the needs of the oil industry.
  
• 1902 - Electric lighting of the streets of Baku was implemented. This was the first in the Caucasus.
  

2. Development during the Soviet period (1920-1990)

• During the years of Soviet rule, electric power developed rapidly.
  
• 1920s - Plans for electrification were drawn up. In accordance with the "GOELRO" plan, electric power networks were also built in Azerbaijan.
  
• 1930–1950s – Power plants were built in Shirvan, Mingachevir, Ganja and other regions.
  
• 1953 – Mingachevir Hydroelectric Power Plant (HPP) was commissioned. It was one of the largest hydroelectric power plants in the region.
  
• 1960–1980s – Thermal power plants (TPP) and new substations were built. Electrical networks were expanded and industry and agriculture were supplied with electricity.
  

3. The period of independence (1991 – present)

• 1990s – After the collapse of the USSR, the power sector was kept under state control, but a number of reforms were needed.
  
• Since the 2000s – Reforms and modernization in the power sector began. Old plants were repaired, new ones were built.
  
• Institutions such as “Azerenergy” OJSC and “Azerishig” OJSC have begun to play an important role in the management of this sector, carrying out energy production and distribution.
  
• Renewable energy – In recent years, solar and wind energy projects have been launched, including the creation of green energy zones (especially in the Karabakh and East Zangezur regions).
  
• Starting in 2021, the green energy policy has been further accelerated due to the influence of COP29.
  

Main sources of energy production:

• Hydroelectric power plants (HPPs)
  
• Thermal power plants (TPPs)
  
• Wind and solar power plants
  

4. Modern era and future prospects

• Against the backdrop of COP29 being held in Baku and measures to combat climate change, special importance is given to the green energy sector.
  
• Projects are being implemented to create a “green energy zone” in the Karabakh and East Zangezur regions.
  
• The power sector is expanding further with foreign investments and regional energy projects (for example, the Azerbaijan-Europe energy bridge).

     The history of electric power in Azerbaijan has a history of more than 130 years, starting from the 19th century, and has gone through a great development path to this day. This sector plays an important role not only in energy supply, but also in the economic development of the country. In the future, the transition to renewable energy and the establishment of a sustainable energy system remain one of the priority directions. Currently, the country both meets domestic demand and has become an electricity exporting state.

     The history of electric power in Baku is closely connected with the general industrial and technological development of Azerbaijan. The formation and development of this field has continued since the end of the 19th century to the present day. Below I present the main stages of this history:

1. Initial period (late 19th century - early 20th century)

• 1901 - The first power plant (Central Power Plant) was built in Baku. It was located near Lake Jeyranbatan and served mainly the oil industry.
  
• During this period, electric power was used mainly in oil refineries, railways, and some city lighting.
  The streets of Baku were first lit by electricity in 1902.
  

2. The Soviet period (1920-1991)

• 1920s - After the establishment of Soviet power, a period of expansion and planned development in the field of electric power began.
  
• In the 1930s, new thermal power plants were built to improve the electricity supply of Baku.
  
• In the 1950s–1960s – the construction of the Baku Thermal Power Plant (BakIEM), and later the “North” and “South” power plants began.
  
• During this period, the energy systems were integrated into a single network – the “Azerbaijan Energy System” was formed.
  

3. The period of independence (after 1991)

• After the collapse of the USSR, serious problems arose in energy supply – obsolete equipment, energy losses and outages.
  
• In the 2000s, the process of modernization and privatization of the energy system began. International companies and investments were attracted.
  
• With the activities of “Azerenergy” OJSC and “Azerishig” OJSC, energy supply in Baku city became significantly stabilized.
  
• New electrical substations, cable networks, digital control systems were built.
  

4. The modern period (from 2010 to the present)

• Energy supply in Baku is being digitized – SCADA systems and “smart” networks are being implemented.
  
• Application of new technologies: solar panels, alternative energy projects and high-voltage gas-insulated substations (GIS).
  
• Major projects such as the Shimal-2 Power Plant have been commissioned.
  
• Full digitalization of electricity meters by “Azerishig” OJSC has been completed.
  

     Baku’s electric power industry has played an important role not only in the industrial and economic development of the city, but also in Azerbaijan. Throughout its history, as an oil-rich city, Baku has always been a pioneer in energy supply.

     The place of Azerbaijani power industry in the region is of great importance both in terms of geostrategy and energy security. Azerbaijan's role in this field can be assessed in the following main aspects:

1. Energy production and export potential

• Azerbaijan is one of the largest electricity producers in the South Caucasus.
• Annual energy production is approximately 27-30 billion kWh.
• Export opportunities: Azerbaijan exports electricity to Georgia, Turkey, Russia and Iran. This is a significant contribution to regional energy security.

2. Development of power infrastructure

• High-voltage transmission lines and substations have been modernized in recent years.
  
• “Azerenergy” OJSC and “Azerishig” OJSC are leading state institutions in this field.
  
• Stations such as “Shimal-2”, “Janub”, “Yenikend”, “Mingachevir”, etc. ensure the country's energy stability.

3. Regional cooperation and energy integration

• Azerbaijan is also working on the synchronization of power networks, in addition to major energy projects such as the Southern Gas Corridor.
  
• There are projects for the export of electricity to Europe via Georgia (for example, the Black Sea Energy Submarine Cable Project).
  
• Azerbaijan-Turkey and Azerbaijan-Iran energy exchange cooperation are strengthening.
  

4. Renewable energy and green transition

• Karabakh and East Zangezur have been declared green energy zones.
  
• The use of solar, wind and hydropower is increasing.
  
• Investment agreements have been signed with UAE, Saudi Arabia, China and European companies.
  

5. Strategic position and energy security

• Azerbaijan plays the role of a logistical bridge in energy transit (Caspian-Black Sea and South-North corridors).
  
• Against the backdrop of geopolitical processes taking place in the region, Azerbaijan's reliable position as an energy supplier is strengthening.
  

     Azerbaijani power engineering is one of the key players on the energy map of the region. As both an energy exporter and a transit country, it plays a decisive role in the energy security of the South Caucasus and, more broadly, Europe-Asia.