The energy sector is dominated by oil and gas exploration, refining and distribution. Oil production in 2011 amounted to 46 MTON and gas production to 28 billion cubic meters. The Azeri government's goal is to increase its current oil production by 20% to 60 million tonnes in 2015. Energy commodities account for more than 80% of total exports. SOCAR has expressed interest in applying Swedish technology in projects related to the construction of the petrochemical industry in the Baku area. The total project cost is USD 15 billion and is expected to be completed in 2018. The Government´s goal is to triple production from the current level of 17 billion cubic meters (bcm) to 47 bcm in 2015, mainly through the use of the giant Shah Deniz field.
The state-owned power company Azerenergy focuses on reaching a production capacity of 6.5-7 GW by 2015, mainly through the construction and modernization of power plants. Azerenergy has several projects to modernize and increase the capacity of its transmission system and to attract foreign investors to participate in the construction of new small hydro power plants (1 MW) through a BOT scheme.
A state program for alternative and renewable energy sources in Azerbaijan during 2012 to 2020 is being prepared.