The Gas Development Master Plan (Cofinanced by the Afghanistan Infrastructure Trust Fund) is based on the assumption that the development of Afghanistan’s enormous natural gas reserves can guarantee energy security, support economic growth, foster development, contribute to fiscal revenue generation, and reduce dependency on donors. In February 2013, the Government of Afghanistan requested assistance from the Asian Development Bank (ADB) to develop a 20-year gas development master plan (2015–2035). The policy and advisory technical assistance (TA) is included in the country operations business plan for Afghanistan 2013–2014. In particular after an Introduction, the Master Plan addresses the following topics: ISSUES; THE TECHNICAL ASSISTANCE ( A. Impact and Outcome; B. Methodology and Key Activities; C. Cost and Financing; D. Implementation Arrangements); THE PRESIDENT'S DECISION and APPENDIXES (1. Design and Monitoring Framework 2. Cost Estimates and Financing Plan 3. Outline Terms of Reference for Consultants).

The Code establishes an all-encompassing legal framework for the regulation of water resources in the Republic of Azerbaijan. The policy considers environmental dimensions of sustainable development and formulates a sector-specific approach to attaining the objectives of protection and conservation of the environment. Among priority areas specifically addressed by the Code are sustainability issues in the energy-water nexus. ---- It is stipulated that internal waters of the Azerbaijan Republic and the Azerbaijan Sector of the Caspian Sea (Lake) are the national wealth of the people of Azerbaijan used and protected by the state. Water resources are considered essential for the existence of flora and fauna. ---- The policy was enforced by the Law of the Republic of Azerbaijan №418-IQ of 26 December 1997.

The Decree represents a reasonable approach to accomplishing the objective of improving long-term stability of the national energy market. Developed pursuant to the Presidential Executive Order № 152 of 15 June 1994 ‘On Measures for Financial Stabilization of the Economy' and subsequently adopted in 1994 by the Cabinet of Ministers, the policy sets tariffs for specific sources of energy on domestic retail and wholesale markets. The measure is considered essential in the context of energy market volatility and uncertainty, moreover, as the national economy was teetering on the brink of downturn. The primary objective of the regulatory document is to ensure profitability of national energy enterprises, thereby generate substantial gains sector- and economy-wide.

In line with a series of policies pursued in Azerbaijan to accelerate the diversification of national economy and boost productivity, the Law on Natural Monopolies provides a comprehensive set of market regulation measures aimed at restructuring and rebalancing the natural monopolies sector. The present policy document focuses on the national imperfectly competitive – more specifically, energy – markets. While addressing price determination issues, the policy seeks to ensure the balance of interests of all monopoly market actors. The policy establishes regulatory frameworks for the transportation of crude oil via pipelines; transportation of natural gas via pipelines, storage and distribution of the natural gas; transmission and distribution of electric and thermal power; services of the natural monopoly entities in the transport sector, heat supply. Particular focus is made on regulatory instruments including tariff setting for monopoly market commodities, output regulation, etc.

The policy represents the agreed principles for cooperation on energy between the Russian Federation and the Republic of Azerbaijan. Enhancing cross-government cooperation is considered crucial for the full implementation of the national action plans on energy. The well-established liaison and coordination mechanisms will facilitate a number of constructive and pragmatic measures for the development of national power, oil and gas industries. With establishing a long-standing partnership, the parties commit themselves to implement a comprehensive agenda on sustainable energy finance, accelerated research and development, efficient use of natural resources. The Agreement reaffirms the principles enshrined in the European Energy Charter and the decisions of the Interstate Council on Oil and Gas.

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.

The policy establishes a comprehensive regulatory framework for the development of renewable energy in the Republic of Azerbaijan. Given its advantageous geographical and climate conditions, Azerbaijan has significant untapped potential for the deployment of renewable energy. Advances in unconventional energy industry will generate substantial sector-wide gains, including the decrease of fuel consumption in thermal power generation, moreover, significant achievements are expected to be made in pollution reduction. Increased uptake of renewable heating and power generation lays the foundation for future developments in the fuel and energy sector. --- In overall, the policy identifies drivers and challenges to the deployment of renewable energy in Azerbaijan, makes projections of renewable energy trends.

The document sets forth principles for the regulation of electric / thermal power sector in the Republic of Azerbaijan. The policy proposes a comprehensive approach to the regulation of power industry, covers the areas of design, construction and operation of electricity / thermal power generation plants. Regulatory measures are focused on ensuring safety, efficiency and environmental sustainability of power generation, transmission and dispatch. --- Importantly, the Law aims to promote sufficient incentives on making renewable energy economically attractive and viable. Subsidization is the key for the creation of sustainable renewable energy sector in the republic. While addressing the issue of insufficient RES connection to the grid, the policy proposes steps to lower and remove existing barriers on the way to RES integration. As the country faces a range of interlinking energy and water challenges, the policy proposes an integrated approach to addressing the existing issues in the energy-water nexus.

The Energy Sector Strategy 1387-1391 (2007/08 - 2012/13) is the third pillar of the National Development Strategy, which is Infrastructure, within the Economic and Social Development goal. Indeed, The Afghanistan National Development Strategy (ANDS) is a Millennium Development Goals (MDGs)-based plan that serves as Afghanistan’s Poverty Reduction Strategy Paper (PRSP). This strategy reflects the commitment of the Islamic Republic of Afghanistan to poverty reduction and private sector-led economic growth for a prosperous and stable Afghanistan. The strategy addresses the following topics: CHAPTER I: Current State Of The Energy Sector; CHAPTER II Energy Sector Strategy; CHAPTER III Energy Sub-Sector Strategies; CHAPTER IV Cross-cutting Issues; CHAPTER V: Monitoring and Evaluation. Note: Glossary and Abbreviations. DABM (Da Afghanistan Breshna Moassessa - the Afghan electric utility); IROA (Islamic Republic of Afghanistan); MEW (Ministry of Energy and Water); MRRD (Ministry of Rural Rehabilitation and Development); NEPS (North-East Power System).