The expected advance in railway and air transport tariffs is likely not to have a great effect on accommodation cost. Nusrat Ibrahimov, the Executive Director of the Public Organization вЂ" Participants of Real Estate Market, informed Trend today that the railway transport carry transportation cost increase will not affect the cost of construction materials.
Therefore, it will have slight influence on the primary real estate market. As to the secondary real estate market and accommodation lease, I think that the advance in prices will not affect the above-mentioned, he said.
The Tariff Council of the Country is currently viewing proposals on railway tariffs and fees on telecommunication services. The State Railway Company of Azerbaijan has recently put forward a proposal on increasing tariffs due to the increase in the domestic electric power and diesel fuel in the domestic market of the country.
Due to the increase in the tariffs on diesel fuel and mazut in January, 2006, the State Railway Company put forward a proposal to increase the tariffs. This issue did not find its positive decision in the Tariff Council of the Country.
After the next advance in prices, starting from January 8, 2007, this issue became an urgent one to the Railway Company again. By the decision of the Tariff Council of the Country, the price on gasoline marked A-95 increased up to 60 gapiks, A-92 and A-80 increased up to 55 gapiks, diesel fuel increased up to 45 gapiks. The price of 1 KWAtt/hour of electric power increased up to 6 gapiks.