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EFFICIENCY OF ENERGY CONSUMPTION IN AZERBAIJAN LOWER THAN EUROPE, U.S.

Oil&Gas Materials 1 July 2005 14:48 (UTC +04:00)

“The efficiency of the energy use in Azerbaijan is lower as compared to West and Central Europe countries and the United States,” Kirbi Oven, an expert of PA Consulting Group, a U.S. company, told a news conference held on Friday.

According to Oven, the efficiency of energy consumption on the post-Soviet countries is 10-20% more than Azerbaijan. It is necessary to take necessary steps in this direction to ensure the efficiency.

"At present the energy tariffs in the country do not correspond to world figures. They do not cover even the production expenses. An increase of energy tariffs might promote its effective use, as a consumer would understand the inexpedient use of energy might cost high," he said. However, the expert stressed that increase of tariffs could not be a way out from the problem. The installation of meters might play considerable role in ensuring efficiency is use of electricity. PA Consulting Group is currently designing recommendations for the Azerbaijani government. The company will also develop a program on tariffs. "It will mainly define the grants-in-aid,” Oven underscored.

The expert said that the analysis of the energy showed that in winter period the expenses of use of energy in rush hours comprised $0.03 per 1 KB/h, while the community subscribers pay only $0,016, which does not cover the short-term expenses.

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