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Azerbaijan's Tariff Council holds meeting

Politics Materials 31 January 2023 16:06 (UTC +04:00)
Azerbaijan's Tariff Council holds meeting

BAKU, Azerbaijan, January 31. Azerbaijan's Tariff Council has reviewed the applications of transport companies and approved new tariffs for passenger transportation services in public transport, Trend reports.

The applications speak of the significant impact of the import price growth on spare parts and repair costs since the last regulation, on passenger transport fares, the financial position of carrier companies, the need to upgrade bus fleets and tariff regulation of issues related to ensuring the service continuity. The upper limit of tariffs for passenger traffic services on intracity, suburban, intercity, as well as intercity bus routes and the latest regulation on the tariff for passenger transportation services in the metro came into force in August 2018.

The Council's meeting participants considered various options for raising tariffs, and in line with the social policy of the state, the most optimal option was chosen. Such factors as ensuring the service sustainability, harmonizing the interests of a consumer and a service provider, economic accessibility, customer satisfaction, and improving the level of service were taken as the basis.

Following the discussions, the fare for the passenger transportation by subway was approved with an increase of 10 gapiks ($0.06) to 40 gapiks ($0.23) for one trip, the upper limit of the tariff for the country is 40 gapiks on intra-city bus routes and 0.40-1 manat ($0.23-0.70) on suburban and intercity bus routes, depending on the distance. On intercity bus routes, the upper limit of the fare is set at 3 gapiks per one kilometer (the previous fare was 2.4 gapiks).

Additional funds that will appear following tariff changes will allow to upgrade the bus fleet and have a positive impact on improving the quality and sustainability of the service.

The meeting participants also emphasized the need for differentiation of tariffs to protect socially vulnerable groups of the population, the introduction of multi-level tariffs that differ in the number of trips and terms, as well as the timely completion of the necessary work to ensure cashless fares.

The decree comes into force on February 3, 2023, and is posted on the official website (www.tariff.gov.az) of the Tariff (Price) Council.

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