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Armenia–Azerbaijan Relations

Historic first: Armenia to receive Azerbaijani fuel via Georgia

Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev. Official photo.
Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev. Official photo.

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The Armenian Economy Ministry has confirmed it held discussions with Georgia on the possible transit of Azerbaijani fuel through Georgian territory. In turn, the Georgian authorities said they had approved requests from ‘partner countries’ for a one-time transit, charging no tariffs. If the transit takes place, it will be the first instance of an Azerbaijani product being received in Armenia.

‘Such a discussion has taken place with the Georgian side, and we have received the published information’, the Armenian Economy Ministry told Armenpress on Monday, referring to the statement by Georgian authorities.

Also on Monday, according to the Georgian Public Broadcaster, the Georgian authorities revealed that on 5 December, they had received a request from ‘partner countries’ for a one-time transit of fuel from Azerbaijan to Armenia through Georgian territory.

‘By decision of Prime Minister Irakli Kobakhidze, Georgian Railways was promptly instructed to conduct this transit free of charge. This decision has been formally communicated to all relevant parties’, the Georgian Ministry of Economy and Sustainable Development stated.

The ministry further noted that Georgia ‘has always been and remains a strategic and reliable partner for both Armenia and Azerbaijan’ and that the Georgian side ‘consistently supported peace and regional cooperation’.

The Georgian authorities’ statement reportedly came as a response to reporting in Azerbaijani media alleged that ‘tariff barriers are obstructing the rail supply of fuel from Azerbaijan to Armenia’.

First cargo transit set to reach Armenia via Azerbaijan
The first trains are expected to cross into Armenia ‘in the coming days’.

The Azerbaijani pro-government media outlet Minval.az published an article on 5 December under the headline, ‘Georgia against the peace: Tbilisi tests the limits of Baku’s patience’, claiming that Georgia had demanded a tariff of $92 for each tonne of cargo that was transited through Azerbaijani territory. Given that this stretch of rail line amounts to 111 kilometres, the tariff amounted to $0.82 per tonne, per kilometre.

According to Minval.az, for a similar type of cargo transported within Azerbaijan territory to Georgia, the Azerbaijani side estimated a rate of $17 per kilometre, meaning $0.02 for each tonne of cargo per kilometre.

Minval.az framed the higher tariff requested by Georgia as an example of Tbilisi trying ‘to break the peace’ in the region, adding that the country, referring to Georgia, which Azerbaijan has consistently ‘invested and supported [for] decades [...] cannot afford the luxury of ignoring’ the interests of Azerbaijan.

Later, on 8 December, the Georgian pro-government media outlet Imedi stated that by Kobakhidze’s order, the fuel would be shipped through Georgia without a tariff.

The reopening of transport routes has been one of the key and most sensitive issues in ongoing peace negotiations between Armenia and Azerbaijan.

In November, Armenia received wheat by rail through Azerbaijan and Georgia —  first from Russia, then from Kazakhstan — a historic development as the two countries move forward in their peace process.

The development followed Azerbaijani President Ilham Aliyev’s announcement during his 21 October visit to Kazakhstan that Baku had lifted all restrictions on the movement of goods to Armenia.

This came months after Armenia and Azerbaijan initialled the peace treaty in August during talks in Washington mediated by US President Donald Trump.

The Washington deal also saw an agreement signed to establish the Trump Route for International Peace and Prosperity (TRIPP), more commonly referred to as the Trump Route, connecting Azerbaijan to its exclave Nakhchivan through Armenia.

US to provide $145 million to Armenia for Trump Route
The mentioned sum is said to be the ‘first tranche of funding’ aimed at implementing the Trump Route.

On Monday, US Ambassador to Armenia Kristina Kvien stated that working groups for the implementation of the Trump Route would hold their inaugural meeting ‘by the end of the year’.

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