The State Oil Fund reported that over AZN 600 million was spent on the project by July 1, 2010. This included AZN 53 million spent in H1, 2010.
The government plans to launch the pipeline built since 2007 by the end of 2011. But several experts are skeptical about these predictions, because the wells are still drilled and the glass-fiber, polyester and steel pipes are still laid.
The economist Ogtay Allahverdiyev said the pipeline"s costs should not exceed AZN 400 million. `The Chamber of Accounts will find many errors in this project, if it investigates the thing thoroughly,` he said. He said projects like this (financed by Azerbaijan"s local sources) are always accompanied by `unclear` expenditures coming to 20-30% of the entire costs.
CES Consulting Engineers from Germany manages and technically controls the project. It has received AZN 18.7 million for the services against the contractually stipulated EUR 19.9 million. The German company had the contractually stipulated payment raised by EUR 7.9 million in March 2009. It also received EUR 2.1 million from Azerbaijan"s government to research the technical and economic feasibility.
The increase in the prices of hydrocarbons has reportedly caused the costs to rise too. The contractors received over AZN 60 million (reportedly too much) because of this. --08B-
Economics
-
Azerbaijan’s economic growth is expected to continue in the coming years, although forecasts from ING Group and the United Nations (UN) present slightly differing views on the pace of recovery. ING Group, the largest banking institution in the Netherlands, predicts modest growth in Azerbaijan’s gross domestic product (GDP), while the UN offers a more optimistic outlook.
-
The average age of taxi cars in Azerbaijan has dropped from 15 to 7 years, according to a statement from the Azerbaijan Ground Transport Agency (AYNA), which attributes this change to the implementation of reforms.
-
Kazakhstan has bolstered its position in international grain markets by resuming exports to Iran and Azerbaijan, according to the country’s Ministry of Agriculture.
-
In recent years, Azerbaijan has quietly fostered a vibrant startup ecosystem that is beginning to make waves on the international stage. From digital education platforms to innovations in agrotechnology, these startups reflect the country's growing embrace of technology and entrepreneurship. A combination of government support, international collaboration, and bold entrepreneurial vision has propelled several Azerbaijani ventures into the global spotlight.
Leave a review