WEEKLY ECONOMIC REVIEW
Heydar Babayev, the Economic Development Minister, also chairman of the Tariff Council, said to a news conference on Friday
The meeting with journalists was dedicated to two major events increase of prices of some oil products. The minister also heads the Tariff Council, stated the step by the council which decided on 5 January to increase the prices of diesel fuel, light kerosene, stove fuel and aviation kerosene. He explained the step with the necessity of increase of wholesale prices set by plants to bring them line with the world prices. He promised to take into consideration the interests of law-income layers of people through increase of salaries, increase of community incomes.
As to inevitable inflation the Minister said that the government has special tools, in particular, creation of rivalry and full liberalization, to fight against the evil. To bring order in the situation to evolve in connection with further increase of prices in agriculture it is planned to subsidize the agriculture producers on targeted principle.
Upon discussion of the increase of the prices of oil products, he minister touched upon he necessity for renewal of the Regulations of the Ministry of Economic Development in connection with the clarification of the structure of the Ministry.
The minister did not forget to remind of innovations within the body hat he leads. The Cabinet of Ministers (CM) of Azerbaijan approved the Rules for ensuring the state control over formation and application of tariffs (prices) in regard to which the state regulation is applied, he said.
Under the rules, the Tariff Council became a separate body of the executive power and it will not be subordinate to either CM or the Ministry. If earlier the Council operated on a voluntary basis now it became a payable body. Thus, РўРЎ is charged with responsibilities on taking final decision, while the issues handled at TC so far were approved at CM. Its task will be regulation of prices and tariffs on 35 names of goods and services, which prices are under the state regulation, including prices and tariffs for communal services (gas, electricity), oil products. Yesterdays decision to raise prices for oil products has been approved by the TC itself and as its head noted, the decision on lowering tariffs for some kinds of services is expected shortly
Though a speech by Babayev was full of optimism, it did not affect on the journalists in attendance.