Baku News

BRIEFLY 31 October 2005 - Today.az - "Azeri light" oil's price went up for 1.70 dollars and became 61.30 dollars per barrel on the world market. Azeri oil "Ural" is 54.05 dollars. These quotations include the expenses for transporting the oil to Supsa and Novorossiysk ports.

31 October 2005 - Today.az - According to the State Oil Company of the Azerbaijan Republic (SOCAR), daily oil output of this well is 16 thousand barrels and 240 thousand barrels of oil per day are produced at the Central Azeri field. It should be noted that it is planned to put into operation ten out of 12 outstripping wells existing in the mentioned field. It was intended to pump sludge to the next ninth well in these days. As to the tenth well, it will be used as a water-pumping well that will keep a constant pressure in layers.

31-10-2005 Azerbaijan Today - By ILHAM SHABAN - Shareholders of the Caspian Pipeline Consortium (CPC - operator of the Tengiz-Novorossiysk oil pipeline) finally decided last week to increase the oil transportation fee by $2.5, bringing it to $30.83 per ton. This has been long desired by the Russian Government. Experts believe that consortium shareholders will also have to approve a method for increasing the price of oil transportation through the Caspian pipeline. Russian governmental representatives previously insisted on increasing transit fees for CPC shareholders to $38 per ton, thereby forcing oil producers in Kazakhstan to seek alternative routes to delivery its product to the world markets. This is why the government of Kazakhstan is now seriously considering transporting its oil through the Baku-Tbilisi-Ceyhan (BTC) pipeline, China, or Iran. Transportation of 1 ton of Kazakh oil cost $26.32 per ton when CPC was launched. This was increased to $27.19 in July of 2004. Transporting this same ton of Kazakh oil through Russia to Mediterranean ports (including expenses for loading and unloading of oil, chartering of tankers and port dues) is currently around $40. Transportation of one ton of Azeri oil through the BTC oil pipeline will cost only $24 for BTC Co shareholders, but there are still concerns over technical aspects.

* With a total length of 1,580 km, the Tengiz-Novorossiysk oil pipeline links oil fields in western Kazakhstan with Russia's Black Sea coast. The first stage of the pipeline with the annual carrying capacity of 28.2 million tons of oil, took time from May 1999 to March 2001. $2.6 billion USD was invested into this project. Nearly 1 million tons of oil was demanded to fill the pipeline. The length of the Russian pipeline section is 1,043 km and 800,000 tons of oil were required to fill it. The first oil was delivered to the Russian terminal in August of 2001. The first test loading of a tanker in the CPC terminal took place on October 13-14, 2001.
According to 2002 estimates, the full cost of the CPC pipeline, with its capacity of 67 million tons annually, will reach $6 billion, including construction of a new terminal near Novorossiysk.
The founding governments of the CPC are Russia (24%), Kazakhstan (19%), and Oman Sultanate (7%). Private shareholders of the CPC are Chevron Caspian Pipeline Consortium Company (15%), LUKARCO B.V. (12,5%), Rosneft-Shell Caspian Ventures Ltd (7,5%), Mobil Caspian Pipeline Company (7,5%), Agip International N.V. (2%), BG Overseas Holding Ltd (2%), Kazakstan Pipeline Ventures LLC (1.75%) and Oryx Caspian Pipeline LLC (1,75%).

BAKU, October 26 (RIA Novosti) - Two more former officials in Azerbaijan have been accused of involvement in a conspiracy to seize power in the republic, an official statement said Wednesday. The document said former government chief of staff Akif Muradverdiyev and Fikret Sadykhov, the ex-president of state-owned chemicals concern Azerkhimiya, had joined ex-parliamentary speaker Rasul Guliyev, ex-health minister Ali Insanov, ex-economic development minister Farhad Aliyev and other suspects in an attempt to overthrow current authorities in Azerbaijan. According to the statement, Sadykhov, who was fired on October 24, had frequent meetings with ex-finance minister Fikret Yusifov on behalf of Guliyev and discussed the financing of the coup. Since 2001, investigators said he had personally given $30,000 to Yusifov for the preparation of the coup attempt. According to investigators, during a meeting between Muradverdiyev, who was dismissed from his post by a presidential decree on October 20, and Farhad Aliyev on October 13, the latter said the current authorities would not last for long and the actions against them should be intensified.

MOSCOW. (Alexei Makarkin, for RIA Novosti) -- As November 6's parliamentary elections in Azerbaijan approach, the pre-election campaign is gaining momentum. Both the authorities and the opposition are busy getting ready for them. The opposition is banking on an Orange Revolution scenario, hoping for the backing of its supporters inside the country, as well as of Western political forces that expressed their sympathy for similar events in Ukraine and Georgia. This is why it accuses the authorities of corruption and persecution of democrats. However, the opposition is split and is torn by internal rivalry. While the Azadlyg (Freedom) bloc is in radical opposition to President Ilham Aliyev, the Yeni Siyaset (New Policy) bloc adheres to more moderate positions. For his part, Aliyev must be guided by the need to ensure stability in the country and to take the positions of Russia and the West into account. The point at issue is balancing the various factors, which are at odds with each other in some cases. It is comparatively easy to take the Russian position into account. Moscow does not intend to teach Azerbaijan the fundamentals of democracy - on the contrary, it is striving to preserve the status quo that had formed in the former Soviet space by the year 2000. However, it is a matter of principle for Russia to prevent Western states from deploying military bases in Azerbaijan, whatever the pretext: to guard the new Baku-Tbilisi-Ceyhan oil pipeline or the possibility of bringing pressure to bear on the neighboring Iran. Small wonder that Baku, which does not want to quarrel either with Moscow or Tehran, has so far been preventing the implementation of such projects, despite numerous "advances" by the Americans. The internal logic of Baku's actions, which are a far cry from the principles of classic democracy, implies the need to give a sharp rebuff to the opposition - as happened after the presidential elections two years ago when opponents of the Aliyev clan took to the streets amid accusations of vote rigging. Then, the authorities quickly dispersed the protesters. However, the situation has now changed. In 2003, the West (like Russia) was interested in seeing Aliyev Sr. pass on power to his son ahead of time, which could help prevent serious upheavals in the oil-rich country. Currently, Western countries want to hold a "democracy exam" for Baku, making it clear that their attitude to Azerbaijan will depend on whether it succeeds in holding really pluralistic elections. At the same time, no one in the West, as before, wants the country to see hard times, which could lead to serious problems for the new oil pipeline and send already high oil prices even higher. As a result, Aliyev has to maneuver carefully. All major political forces have been allowed to run, including the first Azerbaijani President Ayaz Mutalibov, one of the leaders of the Yeni Siyaset bloc, who has been in exile for many years, and ex-parliament speaker Rasul Guliyev, whose Democratic Party is a part of the Azadlyg bloc. However, while Mutalibov is showing the utmost caution and is prepared to return to the country only provided he receives a deputy's mandate (and hence acquires parliamentary immunity), Guliyev has taken the risk of returning to the country, although he was stripped of parliamentary immunity. Guliyev's risky step has shown that the opposition intends to change the course of the election campaign, which is going the way of the authorities. In the past few days, the ex-speaker, who has recently been living in the United States, intended to come to the country accompanied by Western politicians and journalists. Moreover, thousands of the opposition's supporters intended to come to the airport to meet him. In such conditions, it was practically impossible to arrest Guliyev. In order to do this, police had to shoulder their way through a crowd of the regime's opponents, including foreign guests. All this would have had extremely negative consequences for Baku, which is doing everything to demonstrate its high degree of democratization. However, had Guliyev remained at large, this would have demonstrated the authorities' weakness to the voters, which is unforgivable in the East. The personality of the ex-speaker, accused of corruption and half-forgotten in his home country, did not matter because there are more influential opposition members in the country, such as Azadlyg leaders Isa Gambar and Ali Kerimli. As a result, the Aliyev regime chose what is, from its point of view, the least worst option - the plane with Guliyev onboard was not allowed to enter Azerbaijan's air space and had to land in Ukraine, where the ex-speaker was detained as a person wanted by the Interpol. So, the pre-election struggle is heating up. Neither the authorities nor the opposition intend to retreat. Now much will depend on whether Ilham Aliyev will be able to control the situation without overstepping the line separating strict observance of the law and cruelty, which is unacceptable to the international community.

Rasul Quliyev (file photo)

(Turan)

10-24-2005 Radio Free Europe - by Jean-Christophe Peuch - As more Azerbaijani government officials are reported as being dismissed from office, political observers agree that recent political events in Baku and beyond have dealt a severe blow to the opposition. They cite as evidence yesterday's opposition rally, which failed to attract large crowds of supporters and was easily dispersed by police. With just two weeks left before the 6 November parliamentary elections, it seems that President Ilham Aliyev is now ahead of the game. Prague, 24 October 2005 (RFE/RL) -- Azerbaijan's Azadliq (Freedom) main opposition coalition once again defied a ban from Baku city authorities yesterday and staged a rally in the center of the Azerbaijani capital. As in previous rallies, the protesters demanded free parliamentary elections and the resignation of President Ilham Aliyev. Demonstrators had gathered near Baku's Narimanov Park outside the city center. But riot police and plainclothes security officers violently dispersed the crowd before it could reach central Baku. Citing police sources, RFE/RL's Azerbaijani Service reported that some 15 protesters were apprehended. Ali Kerimli, the leader of the Popular Front of Azerbaijan's reformist wing, one of Azadliq's three main parties, said yesterday that the protest showed once again that "the people of Azerbaijan want free and democratic polls." But he conceded the rally was only partly successful. "Once again the Azadliq coalition attempted to stage a demonstration. I say 'attempted' because we only partially succeeded in gathering on Narimanov Park and nearby streets. Our action continued until 5:30 p.m. and, regardless of police violence, we voiced our main demands. But, as a rule in these kind of situations, it was impossible to stage a [full-fledged] rally because people were not authorized to gather all together in one place," Kerimli said. But police violence may not be enough to explain this failure. Although Azadliq leaders say hundreds of people took part in yesterday's rally, reporters from RFE/RL and elsewhere put the number of protesters at just 150 to 200. This a sharp decrease compared to the thousands of people who attended previous rallies. Commenting on the demonstration, the Baku-based website day.az wrote yesterday: "One can reasonably state that today's planned action ended in failure." Day.az suggested one explanation for the low attendance could be exiled opposition leader Rasul Quliyev's failure to return to Baku last week. It suggested another reason could be the recent arrest of cabinet ministers suspected of links with Quliyev. Quliyev, whose Democratic Party of Azerbaijan (DPA) is part of Azadliq, has been registered as an opposition candidate in the upcoming elections. However, Azerbaijani authorities have threatened to jail him as soon as he enters the country and issued an international arrest warrant against him. Quliyev, who has spent nine years in exile in the United States, is wanted in Azerbaijan on embezzlement charges. He has denied any wrongdoing. But he was detained on 17 October in Ukraine's Crimean city of Simferopol while reportedly flying to Baku from London. A Simferopol court ordered his release four days later, saying it did not have sufficient grounds to extradite him to Azerbaijan. Nair Aliyev, first deputy editor-in-chief of the Baku daily "Ekho," told RFE/RL he, too, believes last week's events have undermined the position of the opposition: "The political climate is simmering with excitement. However, public opinion and politicians themselves are now much more interested in what's happening within the government than with the radical opposition. What people are talking about today are the spectacular sackings and arrests of the past few days. This explains why [yesterday's] opposition action did not arouse much interest. One must also say that Quliyev's failure to return to Baku -- whether authorities really prevented him from returning or, as some people say, he did not want to return -- also played a role. People were ready to welcome him at the airport, but the fact that he never made it to Baku has dealt a severe blow to Azadliq," Aliyev said. Quliyev has flown back to London, vowing to return to Baku before the elections. However, few political commentators think his return is likely, especially in the wake of a recent series of high-profile arrests. Authorities last week arrested former Economy Minister Farhad Aliyev, former Health Minister Ali Insanov, former Finance Minister Fikrat Yusifov, and former Foreign Trade Minister Nicat Quliyev on charges of plotting with Rasul Quliyev to overthrow the government. Farhad Aliyev and Insanov also face corruption charges. Both men, who were fired the day before their respective detentions, have been remanded in custody for three months. They have denied the charges brought against them through relatives and lawyers. Yusifov and Nicat Quliyev were arrested earlier. Authorities say it is evidence given by Yusifov that made all subsequent arrests possible. Also arrested last week was Farhad Aliyev's brother Rafiq, whose Azpetrol company reportedly controls three-quarters of Azerbaijan's oil-refinery products. Television reports say that a fourth man, former presidential-administration official Akif Muradverdiyev, was arrested on 22 October. The arrest could not be immediately confirmed. Today, President Aliyev sacked Fikrat Sadyqov, the director of the state-owned Azerkimya petrochemical company. Reports also say Ilqar Rahimzade, the deputy head of Baku’s Nasimi district, was arrested for suspected secret dealings with the opposition. No reason has been given to explain Sadyqov's ouster. However, his name surfaced last week among those of officials with purported links with the opposition. Political analysts in Baku generally say the ongoing reshuffle may not be only connected with the upcoming polls. They believe it may also have to do with a struggle among oligarchs for control over the economy. Nair Aliyev of "Ekho" said that whatever their motives, these arrests play into the hands of President Aliyev. "One can even say that there is a PR angle to [these arrests]," he said. "There was a new sacking [today] and I'm pretty sure there will be more in the coming days. Everything is done to keep public opinion alert and the next sackings will certainly influence those voters who still haven't decided [whom to vote for]. The government is getting rid of corrupt officials and this is something the public can only approve of. Probably, this is what the government and those PR advisers who perhaps are behind this are expecting." DPA leaders have denied any links with the arrested officials. They in turn accuse the government of seeking to blame the alleged corruption of individual ministers on the opposition. But Nair Aliyev believes there may be some truth in the government's accusations. In any case, he said, the officials arrested in the past few days were probably seen by President Aliyev as not sufficiently loyal to his government. "Those ministers were probably both corrupt and not loyal," he added. "If they had just been corrupt, I'm sure they would not have been sacked."

20.10.2005 10:36 MSK MosNews - Pre-election tensions in oil-rich Azerbaijan have increased after the government fired Farhad Aliyev, the cabinet's leading reformer and economy minister, on Oct. 19 as a top U.S. diplomat arrived for talks, the Financial Times reports. Aliyev was detained along with his brother, Rafik Aliyev, who runs the country's largest petrol station chain, Azpetrol. Opposition politicians said regime hard-liners have been increasingly at odds with the liberal Aliyev brothers during the run-up to the Nov. 6 parliamentary elections. The arrests came as Daniel Fried, a U.S. assistant secretary of state, arrived for talks with Ilham Aliyev, Azeri president, which are expected to focus on the worsening campaign climate. The Aliyev brothers are regarded as the heads of the ruling elite's second-richest clan, after the clan of the president, to whom they are not related. Baku is an important transit point for much of the region's growing oil production as it heads to Europe and the U.S. Next month's elections come ahead of the opening of a major oil pipeline across Georgia and Turkey which is expected to double the size of the country's economy. Official news announcements that the president had dismissed Farhad Aliyev did not specify any reasons, but parliament members accused the sacked minister of corruption. A person close to the Aliyev brothers said dozens of their subordinates at the ministry and Azpetrol had been taken into custody or were being interrogated in their offices. Opposition leaders said the arrests were a warning that Azerbaijan could turn away from the west and towards its northern neighbor Russia if western governments too vocally criticized the elections. "The main point here is blackmail," said Fuad Mustafayev, deputy leader of the opposition Popular Front. On Oct. 16, state television introduced censorship of paid political advertisements and of air time allotted to opposition candidates. President Ilham Aliyev, meanwhile, has tried to assure the West that the opposition is weak in his country, but its wealth is growing rapidly. He recently mocked the opposition movement in his nation saying in an interview with the Los Angeles Times that it seeks to helplessly imitate the anti-authoritarian revolutions that in the last two years have swept governments from power in former Soviet republics such as Georgia, Ukraine, and Kyrgyzstan.

24.10.2005 14:36 MSK MosNews - The United States expects the "upcoming election in Azerbaijan to be fair", National Security Adviser Stephen Hadley said Monday as he visited the Russian capital. Hadley said Azerbaijan "has to realize that a free, fair and just election will advance this country's democratic development". He added that "the international community views these basic criteria as a cornerstone for the development of freedom in any country". "We must be sure that the election is fair, that the people express their will and then we will be sure Azerbaijan is on the right path," the Itar-Tass news agency quoted Hadley as saying.

19.10.2005 15:14 MSK MosNews - Azeri President Ilkham Aliyev mocked the opposition movement in his nation saying in an interview with the Los Angeles Times it seeks to helplessly imitate the anti-authoritarian revolutions that in the last two years have swept governments from power in other former Soviet republics. Rather than focusing on next month's parliamentary election, the Azeri leader asserted, the opposition is primarily concerned about planning protests for the next day over its probable loss at the ballot box. In the interview, Aliyev expressed confidence that the country's rapidly growing wealth, the weakness of the political opposition and the strength of current authorities would protect him from the kind of post-election upheaval that ousted governments in Georgia, Ukraine and Kyrgyzstan. Weeks of massive street protests in Ukraine last year were dubbed the Orange Revolution after the color chosen as a symbol by supporters of then-opposition leader Viktor Yushchenko, now that country's president. Wearing orange clothing has become a symbol of support for democratic change in several countries that were part of the Soviet Union, but Aliyev ridiculed this effort in his country. "They put this funny dress on themselves, which has been already used in another place, and they think that by putting on these orange T-shirts they become great revolutionaries," he added. "They are not. They are funny, they are weak and personally I regret that we have such an opposition because this is a shame for the country also." Aliyev said he expected a portion of the opposition, what he called a "small group of hostile, violent opposition activists," to stage post-election protests alleging fraud. Activists and police have clashed repeatedly in recent weeks over opposition parties' attempts to hold rallies in central Baku that had not been authorized by the government. Aliyev defended the conduct of police and the decision to deny his foes the use of downtown squares for rallies. He charged that the rallies had failed to attract as many supporters as hoped, so the opposition switched tactics to seek confrontation. "It is a deliberate attempt by the opposition to create violence, to be beaten by police, and then to demonstrate that there's no democracy in Azerbaijan," he said. "Their goal became to be shown by various TV channels and to find their names in the world press and to try to present Azerbaijan as a country where freedom of assembly is not provided. "This is complete provocation, and everybody should know it," he added. Aliyev said the opposition hoped to bring him down, but it would fail. "Many things are different in Azerbaijan than in the neighboring countries," he said. "If you compare the economic situation and political situation in Ukraine and Georgia before the elections in those countries and in Azerbaijan, you will see the difference." Aliyev spoke the day after Rasul Guliyev, an Azeri opposition leader who had received political asylum in the U.S., was arrested on an Interpol warrant during a stopover in Ukraine en route to his native country. Guliyev's supporters said that Aliyev's government had refused his plane permission to land in Azerbaijan, but the president disputed that Tuesday. "Permission was not denied," he said. "This is an attempt of the opposition to mislead the public. How can we deny permission when we are trying to extradite Rasul Guliyev to Azerbaijan? We are waiting for Rasul Guliyev. A special place has already been prepared for him in prison." Although both the government and the main opposition in Azerbaijan are fundamentally pro-Western, stability here is of particular concern to the U.S. because of Caspian Sea oil. A nearly completed $3.4-billion pipeline linking Baku, the capital, with the Turkish port of Ceyhan is expected to carry 1 million barrels of oil a day by 2008.

23.10.2005 16:28 MSK MosNews - The 88th anniversary of the Great October Socialist Revolution has been penciled in as the date for a coup d'etat in Azerbaijan, Fuad Akhundov, political studies chief of the presidential administration's department for social and political issues, told Interfax on Sunday. "Today's unauthorized opposition rally, which will of course be dispersed, is one in a series of recent rehearsals for the staging of a coup d'etat, set for early November 7 — a revolution which our opposition calls 'orange' for easy reference," Akhundov said. The Azadlyg opposition coalition is trying to accomplish an orange revolution with methods employed by the Bolsheviks during the 1917 October Revolution, he said. "If it is a success, they will make November 7 a red-letter day in Azerbaijan again, even though Russia has given up this holiday," Akhundov said. "The opposition must understand that Bolshevism will not be accepted today. The country is ruled by law and there is no chaos as in 1917. One can gain power only if supported by a majority of citizens. It is a tenet of democracy," he continued. "In an attempt to shift responsibility for the aftermath of the coup over to authorities, the opposition is saying that if the authorities falsify elections returns, it will have no choice but to use force. Though even an ordinary user of the Internet is familiar with the revolution rhetoric being practiced by the opposition," the official said. "Over the two years of Ilham Aliyev's presidency and in Heydar Aliyev's time as president not a single opinion poll gave the opposition so much as a 20% rating. The opposition, however, claims it will win in 70% of electoral districts, even though Azadlyg's current rating is 6% and that of the entire opposition around about 12%. Obviously, such a result can only be achieved through vote rigging," said Akhundov. "The Azeri authorities will not tolerate vote-rigging, while objective election returns must not differ greatly from the outcome of numerous opinion polls, conducted by local and foreign pollsters," he said. The leaders of Azadlyg's member parties Ali Kerimli of the Popular Front of Azerbaijan, Isa Gambar of Musavat and Rasul Guliyev of the Democratic Party Rasul Guliyev held the posts of, respectively, state secretary and parliamentary speakers at different times.

BAKU, Oct 22 (AFP) - A fourth high profile figure in Azerbaijan has been arrested, a local television station reported Saturday, amidst heightening political tensions two weeks ahead of a key parliamentary vote. "Dismissed from his post two days ago, Chief of Presidential Affairs Akif Muradverdiyev was arrested," the private ATV channel said in an evening news bulletin citing unnamed police officials. No reasons for the detention were provided and the report could not immediately be confirmed. Muradverdiyev's reported arrest follows the arrests of former economic development minister Farkhad Aliyev, his wealthy brother Rafik Aliyev and former Health Minister Ali Insanov. The three men face charges linking them to an alleged plot backing an attempt by the opposition to "violently" overthrow the regime, officials have said. However analysts have said the arrests have less to do with a coup attempt than internal rivalries in ruling circles. President Ilham Aliyev, who is facing mounting Western criticism that his government's preparations for the November 6 elections are undemocratic, dismissed both ministers earlier this week

10-22-2005 BAKU SUN - By Aida Sultanova - Azerbaijan's former economic development minister has been arrested on suspicion of conspiring with an exiled opposition leader to carry out a coup; prosecutors, police and security ministries said Thursday. President Ilham Aliev dismissed Economic Development Minister Farhad Aliev, who is no relation, from his post on Wednesday. No reason for the dismissal had been given. Ministry and National Security Ministry said that Aliev was arrested Wednesday. It said he had been charged with conspiring with exiled opposition leader Rasul Guliyev to incite unrest and forcibly seize power in the Caspian Sea country. Guliyev had said he would return to Azerbaijan this past Monday after a decade in self-imposed exile, and Azerbaijani authorities had vowed to arrest him on already existing embezzlement charges. But Guliyev was detained in Ukraine on Monday during a refueling stop. Ukrainian officials said they had taken him into custody on a warrant from Interpol. Ukraine freed Guliyev from custody on Thursday, the Interfax news agency reported. President Aliev also dismissed Health Minister Ali Insanov on Thursday, according to a presidential decree published by the Azertaj state news agency. A law enforcement official, who declined to be identified, said police had searched his residence, as well as that of Education Minister Misir Mardanov. Mardanov, Labor Minister Ali Nagiyev and government Chief of Staff Akif Muradverdiyev were also dismissed on Thursday, the Interfax news agency reported, citing an unnamed senior government official. Farhad Aliev, the former economic development minister, was also charged with embezzlement, abuse of office and misappropriation of funds, the joint statement said. Independent political analyst Rasim Musabekov predicted the dismissals and arrests would help consolidate support for the president. "Everybody criticized (President) Aliev for his weakness and the weakness of authorities that could be overturned, but now these forces will consolidate around the strong power," Musabekov said. He also suggested that a considerable number of members of the old team, which has been in power for years, were certain they would lose their posts after the forthcoming elections. "Understanding that could have encouraged them to establish contacts with the possible alternatives to the authorities and undertake attempts to become close to them," Musabekov said. Prosecutors opened the case against Aliev after questioning former Finance Minister Fikret Yusifov, who was detained on Monday as police rounded up opposition supporters ahead of Guliyev's scheduled arrival, the statement said. Yusifov allegedly told investigators that Guliyev had instructed him to contact Aliev and others to propose they help finance a coup, the statement said. It said that Aliev had met with Yusifov twice on the premises of the Azpetrol oil company, owned by Aliev's brother Rafik. Rafik Aliev was also detained Wednesday. Yusifov purportedly said that Aliev had agreed to provide $3 million toward the coup effort, the statement said. Yusifov allegedly met with Guliyev earlier this month in Berlin, told him a coup was necessary and that they could use mass demonstrations to prevent his arrest. He also allegedly gave him instructions that Yusifov passed on to Farhad Aliev. On Oct. 15, Aliev allegedly gave Yusifov 100,000 ($120,000) to finance a coup, the statement said. The money was found during a search, it said. News of Aliev's arrest came amid spiraling tensions around next month’s vote. Opposition parties have been holding rallies in the capital, Baku, nearly every weekend, accusing the government of plotting to rig the elections, and police have violently broken up recent attempts to defy a ban on downtown protests. Authorities are concerned that Azerbaijan could see a mass uprising similar to those that followed elections in other post-Soviet states over the past two years, including Georgia, Ukraine and Kyrgyzstan. On Monday, police detained hundreds of opposition activists, fearing they might try to disrupt plans to arrest Guliyev.

MOSCOW. (Alexei Makarkin, for RIA Novosti) -- As November 6's parliamentary elections in Azerbaijan approach, the pre-election campaign is gaining momentum. Both the authorities and the opposition are busy getting ready for them. The opposition is banking on an Orange Revolution scenario, hoping for the backing of its supporters inside the country, as well as of Western political forces that expressed their sympathy for similar events in Ukraine and Georgia. This is why it accuses the authorities of corruption and persecution of democrats. However, the opposition is split and is torn by internal rivalry. While the Azadlyg (Freedom) bloc is in radical opposition to President Ilham Aliyev, the Yeni Siyaset (New Policy) bloc adheres to more moderate positions. For his part, Aliyev must be guided by the need to ensure stability in the country and to take the positions of Russia and the West into account. The point at issue is balancing the various factors, which are at odds with each other in some cases. It is comparatively easy to take the Russian position into account. Moscow does not intend to teach Azerbaijan the fundamentals of democracy - on the contrary, it is striving to preserve the status quo that had formed in the former Soviet space by the year 2000. However, it is a matter of principle for Russia to prevent Western states from deploying military bases in Azerbaijan, whatever the pretext: to guard the new Baku-Tbilisi-Ceyhan oil pipeline or the possibility of bringing pressure to bear on the neighboring Iran. Small wonder that Baku, which does not want to quarrel either with Moscow or Tehran, has so far been preventing the implementation of such projects, despite numerous "advances" by the Americans. The internal logic of Baku's actions, which are a far cry from the principles of classic democracy, implies the need to give a sharp rebuff to the opposition - as happened after the presidential elections two years ago when opponents of the Aliyev clan took to the streets amid accusations of vote rigging. Then, the authorities quickly dispersed the protesters. However, the situation has now changed. In 2003, the West (like Russia) was interested in seeing Aliyev Sr. pass on power to his son ahead of time, which could help prevent serious upheavals in the oil-rich country. Currently, Western countries want to hold a "democracy exam" for Baku, making it clear that their attitude to Azerbaijan will depend on whether it succeeds in holding really pluralistic elections. At the same time, no one in the West, as before, wants the country to see hard times, which could lead to serious problems for the new oil pipeline and send already high oil prices even higher. As a result, Aliyev has to maneuver carefully. All major political forces have been allowed to run, including the first Azerbaijani President Ayaz Mutalibov, one of the leaders of the Yeni Siyaset bloc, who has been in exile for many years, and ex-parliament speaker Rasul Guliyev, whose Democratic Party is a part of the Azadlyg bloc. However, while Mutalibov is showing the utmost caution and is prepared to return to the country only provided he receives a deputy's mandate (and hence acquires parliamentary immunity), Guliyev has taken the risk of returning to the country, although he was stripped of parliamentary immunity. Guliyev's risky step has shown that the opposition intends to change the course of the election campaign, which is going the way of the authorities. In the past few days, the ex-speaker, who has recently been living in the United States, intended to come to the country accompanied by Western politicians and journalists. Moreover, thousands of the opposition's supporters intended to come to the airport to meet him. In such conditions, it was practically impossible to arrest Guliyev. In order to do this, police had to shoulder their way through a crowd of the regime's opponents, including foreign guests. All this would have had extremely negative consequences for Baku, which is doing everything to demonstrate its high degree of democratization. However, had Guliyev remained at large, this would have demonstrated the authorities' weakness to the voters, which is unforgivable in the East. The personality of the ex-speaker, accused of corruption and half-forgotten in his home country, did not matter because there are more influential opposition members in the country, such as Azadlyg leaders Isa Gambar and Ali Kerimli. As a result, the Aliyev regime chose what is, from its point of view, the least worst option - the plane with Guliyev onboard was not allowed to enter Azerbaijan's air space and had to land in Ukraine, where the ex-speaker was detained as a person wanted by the Interpol. So, the pre-election struggle is heating up. Neither the authorities nor the opposition intend to retreat. Now much will depend on whether Ilham Aliyev will be able to control the situation without overstepping the line separating strict observance of the law and cruelty, which is unacceptable to the international community.

AssA-Irada 13/10/2005 19:23 - Inauguration of the Georgian section of the Baku-Tbilisi-Ceyhan main export oil pipeline will be the most important event for Georgia, President Ilham Aliyev said on Wednesday at the ceremony, which marked a major step toward completion of this strategically important energy project that will deliver major oil resources to global markets. Aliyev said transportation of oil to Georgia will accelerate the country's economic development and greatly contribute to increasing the welfare of the Georgian people. "The project, which was a dream for many for a long time, has become a reality." The President recalled his participation at the ceremony of pumping of first oil into the pipeline at the Sangachal terminal several months ago, along with the Presidents of Georgia and Turkey. He voiced confidence that the Turkish section of the pipe, which will allow to transport Azeri oil to world markets from Turkey's eastern Mediterranean port of Ceyhan, will also be inaugurated soon. Georgian President Mikhail Saakashvili addressing the event said the BTC pipeline bears political significance for his country even greater than its economic capabilities. He also said that Azerbaijan is developing in a way that it supported by Georgia and that its development is of great importance for the entire region. The ceremony was attended by Turkish President Ahmet Necdet Sezer, US special envoy on Caspian issues Steven Mann, and BP company president John Brown, as well as BP Group managing director, officials, senior executives of BTC owner companies and businesspeople. The 1,768-km pipeline will carry one million barrels of oil a day from the BP-operated Azeri-Chirag-Gunashli field in the Azerbaijan sector of the Caspian Sea to the eastern Mediterranean port of Ceyhan, bypassing the heavily used Bosphorus Straits. Staged filling of the pipeline is a gradual process over a period of several months, involving over 10 million barrels of oil. The oil is currently on its way towards the Georgian-Turkish border, and the loading of the first tanker at Ceyhan is expected around the year-end.

AssA-Irada 13/10/2005 19:43 - The Azeri ambassador to the United States Hafiz Pashayev has addressed a roundtable at the US Congress organized by the Washington Institute on Religion and Public Policy. Pashayev spoke of the ongoing campaigns for the November 6 parliament elections, steps at ensuring human rights, as well as democratic and economic reforms being implemented by the Azerbaijan government. The ambassador mentioned that after Azerbaijan passed its Constitution, the country held two presidential and two parliamentary elections. He admitted that some irregularities were observed in the electoral process, explaining this by the fact that the ‘election ethic' is new to the former Soviet Union republics. "The report of the OSCE on the pre-election period was positive, but issues remain to be addressed." The ambassador said that the May 11 presidential decree on improving election practices provided a favorable basis for holding a free and fair poll. "The main issue before the government is currently to ensure that the election process is not interfered with by local executive authorities." Pashayev cited changes observed since previous elections, including the fact that more than 2000 candidates are contesting 125 seats in parliament, the considerable number of international observers and allowing the ethnically-Armenian citizens of Azerbaijan living in Upper Garabagh to participate in the vote. The roundtable was attended by members of Congress, representatives of diplomats accredited in Washington, non-government organizations and media.

GAZAKH, Azerbaijan, Oct 11 (AFP) - The head of Azerbaijan's state oil company denied Tuesday ever meeting a Czech national charged in the United States with participating in a scheme to bribe senior Azerbaijani government officials in oil privatization deals. "I never saw and am not acquainted with Viktor Kozeny," Natik Aliyev, the president of Azerbaijan's government-owned oil company SOCAR, told journalists while on a regional tour with Azerbaijani President Ilham Aliyev. Kozeny and two US citizens, Frederic Bourke and David Pinkerton, face a 27-count indictment handed down by a federal grand jury in Manhattan last week. The indictment alleges that the three men were involved in making corrupt promises and payments totaling millions of dollars to top Azerbaijani officials with influence over the privatization of state-run firms. In particular, they allegedly paid huge bribes to ensure that their investment consortium would gain a controlling interest in SOCAR, in order to reap profits for its ultimate re-sale in the market. Names of Azerbaijani officials implicated in the case have not been released. However both Natik Aliyev and President Aliyev, who are not related, were top officials at SOCAR at the time when the bribes are alleged to have been paid. Natik Aliyev was quick to distance himself from any shady privatization deals in his Tuesday comments. "In 1994 the president (of Azerbaijan) announced that oil belongs to the people, then it was announced that SOCAR can only be privatized by presidential decree," Aliyev said. "Such decrees are not being prepared and I don't think SOCAR should be private... I don't believe SOCAR will be privatized in the next five years," Aliyev added. Western oil companies have invested billions of dollars into the development of offshore oil fields in Azerbaijan -- the seventh most corrupt nation on Earth, according to the non-governmental watchdog organization Transparency International. SOCAR is part of a BP-led consortium building the Baku-Tbilisi-Ceyhan oil pipeline that is to deliver Caspian Sea oil west through Turkey.

BAKU, October 11 (RIA Novosti, Gerai Dadashev) - The European Bank for Reconstruction and Development (EBRD) is set to loan 115 million euros for the modernization of Azerbaijan's hydroelectric power plant (HPP), the president of Azerenergy company said Tuesday. Etibar Pirverdiyev said the contract, to be signed in early 2006, included a 20-year-term loan with a three-year grace period at LIBOR rate plus 0.5% per year. The modernization project will increase the plant's power output from its current 2,100 megawatts to 2,500 megawatts and will enable the country to reduce annual fuel consumption by 400,000 metric tons. Azerbaijan's HPP is the largest in the region and produces more than 50% the country's electricity. The projected power output of the plant's eight units is 2,400 megawatts.

Oct 07, 2005 BAKU. Oct 7 (Interfax) - The working group on the legal status of the Caspian Sea has reached an agreement on a number of statements in its draft convention. A communique adopted at the October 6-7 session in Baku says that "the delegations continued to work toward a consensus on the legal status of the Caspian Sea and found mutually acceptable approaches to a number of its provisions." The participants in the session also "underscored the need to continue talks to reach a final agreement on the convention as soon as possible." The delegations agreed to hold the next session of the working group in Astana. tm md

BAKU, October 5 (RIA Novosti, Gerai Dadashev) - The hard currency reserves of the National Bank of Azerbaijan (NBA) have grown 16.99% in the first nine months of this years, hitting $1,025.81 mln, the NBA said in a press release. The release said that during the period under review, the NBA had provided $42.04 mln in IMF debt servicing. During the same period, the national currency strengthened 309 points (6.3%), at 4593 manat per $1 as of the end of September.

10-05-2005 BakuToday - The upcoming parliament elections will be fair, said president of the Parliamentary Assembly of the Council of Europe (PACE). Rene van Der Linden, speaking of the socio-political situation in PACE member states and the future elections at a recent news conference, said the Council of Europe is closely following the developments on the eve of the November 6 vote in Azerbaijan. The PACE president said he has recently visited the country and held talks with Azeri officials on the issue. He voiced confidence that the needed steps will be taken to hold a democratic poll. Linden said all suitable conditions have been provided for active civil participation in the elections. The Council of Europe will send a large number of observers to Azerbaijan to monitor the process, he added. Five CE parliament members will arrive in the country on October 10 to examine the pre-election climate.

10-05-2005 BakuToday - Azneft, SOCAR's oil & gas producer enterprise, is going to commission soon 10 wells from the platform No1062 installed at Neft Dashlari (Oil Stones) field. This platform has not been used since 1992 when the hurricane destructed it. Seven well have been rehabilitated by the present and another three ones will be repaired and commissioned soon. Total debit will makes around 55 tons a day. Earlier SOCAR president Natig Aliyev emphasized that SOCAR is considering an opportunity to put into operation wells which considered unprofitable because of small debit. But taking into account growth of oil price at world markets, production from them has become economically more profitable. Neft Dashlari has been developing since 1949. For entire period of operation Neft Dashlari and Grazevaya Sopka (they are located on one NGDU) were produced over 173 million tons of oil. Current daily production from 460 development wells is close to 2,300 tons of oil. Balance reserves of the field is estimated in 30 million tons.

BAKU, Oct 3 (AFP) - Azerbaijan's interior minister warned on Monday that opposition activists were planning armed riots following upcoming parliamentary elections on November 6. "We have information that the opposition is planning to organize riots the day after elections with the use of weapons and we will consider this reality," Interior Minister Ramil Usubov said. "If there are more unsanctioned events, naturally the police will do their duty," he told journalists. Tensions have risen ahead of the vote in this oil-rich South Caucasus republic. President Ilham Aliyev has accused the opposition of exploiting the elections to "destabilize" the country, while the opposition alleges that the government plans to rig the poll. On Saturday hundreds of riot police violently broke up a peaceful demonstration the opposition had mounted for the second time in under a week. Pro-government television reported police as saying the opposition had armed themselves with crowbars and injured several officers during Saturday's protest -- accusations denied by the opposition. Another rally is planned for this Saturday by the Azadliq (Freedom) block. On Monday, Aliyev reiterated his earlier promises to ensure a fair vote, saying that preparations were going smoothly. "I am sure that the elections due in November will be free and fair and the will of the Azerbaijani people will be reflected," he said at a news conference. Azerbaijan's last national vote, the controversial 2003 presidential elections in which Ilham Aliyev took over the country's top post from his father Heydar Aliyev, ended in days of protests and hundreds of arrests.

BAKU, October 1 (RIA Novosti, Gerai Dadashev) - Azerbaijani banks attracted 6,285.2 bln manat (about $1.368 bln) in deposits in September, 44.6% more than in the same period last year and 4.12% more than at the beginning of August 2005, the National Bank of Azerbaijan said in a press release. Deposits in the local currency totaled 1,276.2 bln manat ($278 million), or 20.3% of the total, as compared to more than $1.888 bln, or 79.7%, in hard currency. Individual hit 2,258.9 bln manat ($492 mln), 31.3% more than for the same period last year, while corporate deposits stand at 4,026.3 bln manat (more than $876 mln), 53.4 % more than in 2004.