Since next year Turkey will stop gas import from Azerbaijan and Iran on the “pay and take” principle, Turkish NTV channel quoted Turkish Minister of Energy and Natural Resources Taner Yildiz as saying.
“This means that we no longer have to pay for the non-purchased gas. Advance payment is money of our citizens and we should be aware of that. I am sure we will settle that,” Yildiz added.
Turkey has already stopped import of Russian gas on the “pay and take” principle. Turkey buys 1000 cub.m. of Iranian gas for $490 and 1000 cub.m. of Azerbaijani gas transported via the Southern Caucasian pipeline for $335 and $425 for 1000 cub.m. of Russian gas.
A source from State Oil Company of Azerbaijan (SOCAR) told private ANS TV channel that in this case Turkey will have to pay more for the imported gas, because the supplier’s risks will grow. “The production company should know the volume of gas the buyer is going to purchase six months ahead and make investments on the basis of this volume. It is impossible to extract oil or gas during a short period and deliver it to the supplier,” explained SOCAR’s representative.—0—
Economics
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On September 20, 2024, Volts Energy Ltd., an engineering company based in Abu Dhabi, and Azerbaijan’s Turan Energy LLC announced the creation of a new joint entity, TuranVoltsEnergy. This venture will focus on EPC (Engineering, Procurement, and Construction) projects in renewable energy and energy storage systems within Azerbaijan.
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The number of passengers traveling by air from Azerbaijan has seen a significant increase in 2024, rising by 26.7% from January to September compared to the same period last year. According to the State Agency for Tourism, a total of 2,548,897 people used air transport services to travel to 40 countries during this period.
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Azerbaijan’s prolonged border closures, approaching five years, have taken a profound toll on the labor market, particularly in border regions, where cross-border trade and services were once critical economic drivers. Official data highlights the stark disparity between the growing labor force and the lack of new job creation in these areas, underscoring the social and economic challenges faced by residents.
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Azerbaijan’s food imports have surged to unprecedented levels, with a significant rise recorded in the first nine months of 2024, according to data from the State Customs Committee. Food imports for January-September reached USD 1.755 billion, marking an 11.4% increase over the same period last year. This represents a USD 179.7 million increase compared to 2023, setting a record for food imports in the country’s history. Over the past decade, food imports have more than doubled, rising by 2.4 times, with a notable 52.5% growth in the last five years alone.
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