Meta Data
Title in national language: 
AZƏRBAYCAN 2020: GƏLƏCƏYƏ BAXIŞ / Концепция развития "Азербайджан-2020: Взгляд в будущее"
Draft: 
No
Revision of previous policy?: 
No
Effective Start Year: 
2013
Effective End Year: 
2020
Scope: 
National
Document Type: 
Plan/Strategy
Economic Sector: 
Multi-Sector
Energy Types: 
Oil, Power, Gas, Renewable, Other
Issued by: 
Office of the President of the Republic of Azerbaijan
Overall Summary: 
Proposed measures aim to advance competitiveness of the Azerbaijan economy through improving key macroeconomic indicators such as business and investment climate, institutions, social prosperity and stability. The policy addresses the most important strategic issues, highlights existing concerns, and proposes ways to overcome the identified challenges. Particular focus is on reinforcing synergies in international policies, especially at the environmental level. The policy reviews recent developments in the fuel and energy sector of Azerbaijan and underscores that the national economy has recently experienced significant growth due to extensive production of natural resources. The document addresses the following: 1. Overview of Current Situation, 2. National and Global Challenges, 3. Azerbaijan – 2020: Strategic Outlook and Key Priorities, 4. Transition to a Competitive Economy, 5. Modernization of Transport Infrastructure. Rebalancing Regional Development. 6. Development of Information and Communications Technology, Transition to Knowledge-based Society, 7. Human Capital Development and Social Progress, 8. Improvement of Regulatory Frameworks and Strengthening Institutional Capacities, 9. Development of Civil Society, 10. Protection of Cultural Heritage, 11. Environment and Ecological Issues.
Renewable Energy
RE priorities: 
4.2. ‘Structural Changes in the Economy, Development of Unconventional Sources of Energy’. In its effort to accelerate the deployment of renewable energy, the Government of Azerbaijan takes steps to improve regulatory frameworks on RES, carry out research and development initiatives, develop skilled and qualified labor force, and increase public awareness on RES-related matters.
RE feed-in tariffs: 
In addition to state-funded renewable energy projects, private sector involvement is expected to be encouraged. Flexible mechanisms of renewable energy tariff setting will be put in place.
Environment
Energy environmental priorities: 
Art. 11. The policy proposes a forward-looking approach ensuring sustainable and environmentally sound development. Rich in hydro-carbons, Azerbaijan implements measures for increasing the exploitation of natural resources. These measures require being counterbalanced with comprehensive initiatives on protection of the environment. To facilitate sustainable development, regulatory efforts focus on mitigation of adverse environmental impacts of the fuel and energy industry, pollution abatement, restoration and protection of natural resources. --- Comprehensive set of mitigation measures will be implemented to achieve waste management sustainability and prevent loss of natural resources. --- Actions will be taken to enhance national climate mitigation ambition. Among priorities is the formulation of coordinated environmental policies and ensuring conformity with European standards on hazardous emissions. ---- Proposed measures aim at strengthening the enforcement of standards for energy consumption and carbon dioxide emissions per unit of GDP. Standards are established in accordance with the criteria set by intergovernmental organizations, and in line with the Millennium Development Goals. --- The policy underscores the need for strengthening the sustainable management of natural resources and ecosystems.
Energy Supply and Infrastructure
Infrastructure development priorities: 
Drastic reforms to be carried out for infrastructure development. As provided by art. 11, a new heat supply system will be established, with its coverage area expanded and new heat supply facilities built. Measures to restructure the sector might lead to elimination of unprofitable enterprises (boiler shops). ---- 4.2. ‘Structural Changes in the Economy, Development of Unconventional Sources of Energy’. Remarkable transformations envisaged by the policy include refurbishment and modernization of the oil and gas production, transit and storage infrastructure. Cluster-based approach is being proposed - the cluster system improves financial attractiveness of the fuel and energy sector and allows for strengthening environmental standards, etc.
Governance
Energy management principles: 
Art. 3 ‘Azerbaijan -2020: Strategic Outlook and Key Priorities’. Underpinning diversification of the economy as a development strategy is a priority given particular attention. Significant shift is expected to be made towards a more balanced economic system less dependent on fossil fuels. The ultimate goal of the Concept is to facilitate economic diversification, maintain growth of the non-oil sectors, and – through achievement of these goals – enhance the competitiveness of national economy. Along with modernization of the national oil-gas and petrochemical industries, the policy proposes steps to accelerate the deployment of renewable energy. Average annual non-oil GDP growth is projected to achieve 7 per cent. --- The policy identifies the strengths and weaknesses of the export-oriented model of growth. Advances in the oil and gas sector - embraced more innovation and technology - will generate considerable economy-wide gains.