AZERBAIJAN: RUSSIA TO BLAME FOR DELAYED GAS DELIVERIES TO GEORGIA?
Rovshan Ismayilov
EurasiaNet, NY
Oct 19 2006
Azerbaijan will not be able to supply Georgia this year with the
additional gas supplies that the Georgian government is seeking in
order to forestall the possibility of an energy crisis. Some experts
in Baku believe that Russia’s ongoing diplomatic row with Georgia is
influencing Azerbaijani policy decisions.
Wanting to build its strategic reserves for what could prove a tense
winter, Georgia sought to secure an additional 300 million cubic meters
of gas from Azerbaijan’s Shah Deniz field by the end of 2006, Georgian
Energy Minister Nika Gelauri told a September 30 news conference in
Tbilisi. [For details, see the Eurasia Insight archive]. Talks held
October 10-11 in Baku appeared to yield positive results. But just days
later, Azerbaijani officials revised their position, saying they could
not guarantee the desired gas deliveries within Georgia’s timeframe.
“Azerbaijan might need the gas for itself,” the Trend news agency
reported Azerbaijani Energy Minister Natik Aliyev as saying. “We
cannot give a concrete promise yet because we do not know yet what
Azerbaijan’s energy balance will be next year.” Azerbaijan itself
imports between 4.0 billion and 4.5 billion cubic meters a year from
Gazprom, the Russian state-controlled conglomerate that also supplies
the bulk of Georgia’s gas.
It is Georgia’s energy dependency on Russia that has President
Mikheil Saakashvili’s administration worried in Tbilisi. A spy
scandal, in which Georgia arrested Russian military officers, has
placed Georgian-Russian relations in a deep freeze. In retaliation
for the Georgian action, Russia has implemented punitive measures,
including the closure of transport corridors and the suspension of
postal service. [For background see the Eurasia Insight archive].
Even before the spy scandal, Russia imposed economic sanctions against
Georgia, most notably a ban on wine imports. [For background see
the Eurasia Insight archive]. Some experts believe that the Kremlin
may in the coming months use its energy influence over Georgia as an
additional instrument of retaliation against Tbilisi.
Such concerns are rooted in the experience of January of this
year, when pipelines running through Russian territory to Georgia
inexplicably exploded, plunging the Caucasus country into an energy
crisis. [For background see the Eurasia Insight archive].
The Shah Deniz gas field, with estimated reserves of 400 billion cubic
meters (bcm), was to have provided the means for Azerbaijan to meet
Georgia’s demand. Gas from the field was originally expected to flow
via the new Baku-Tbilisi-Erzurum pipeline by the end of October.
However, that opening was postponed after Turkey announced that its
part of the pipeline would not be operational until the end of 2006
at the earliest.
Georgia is supposed to receive 5 percent of the gas shipped to Turkey
as a transit fee, plus the right to purchase an additional 5 percent
of exports at a preferential price — $55 per thousand cubic meters.
The 300 mcm of gas Tbilisi wanted to purchase would be in addition
to these supplies.
While Aliyev evaded giving a reason for the delay, some experts in
Baku contend that the decision is political. “There are no technical
problems which may cause a delay,” asserted Ilham Shaban, an energy
expert and editor of the Turan Energy Bulletin. “The pipeline running
from Baku into Georgian territory is complete and ready for operation.”
Shaban contends that Azerbaijan may have unofficially asked British
Petroleum, which leads the gas development and pipeline consortium, to
postpone production until the end of 2006 in order to avoid offending
Russia on this issue. At the same time, he added, the British energy
company appears to be cognizant of problems recently encountered by
other foreign oil companies in Russian oil exploration, and may wish
to do nothing that might rankle the Kremlin. “It means that, most
likely, we’re facing Russia’s energy blackmail again,” Shaban said.
The Azerbaijani government, however, denies that any hidden political
motive exists for its decision. “Cooperation between Baku and
Tbilisi was not affected by Russia’s position on Georgia. We [the
Azerbaijani government] are not experiencing any pressure from Russia,”
a source within the Azerbaijani Foreign Ministry told EurasiaNet. The
differences between Russia and Georgia were discussed during an
October 6 meeting in Moscow between the Azerbaijani and Russian
Foreign Ministers, “and both sides expressed their understanding that
the conflict should be solved as soon as possible,” the source said.
Energy Minister Aliyev has confirmed that Azerbaijan is prepared
to provide transit to Georgia for Iranian gas supplies, but Shaban
states that the country’s pipelines cannot transport more than 2 mcm of
Iranian gas to Georgia per day, roughly 30 percent of Georgia’s needs.
Ilgar Mammadov, a Baku-based political analyst, believes that other
factors aside from Russia could have influenced the government’s
announcement. An increase in Gazprom gas prices could mean an increase
in transit fees for gas to Azerbaijani foe Armenia, a situation which
could raise tensions between Moscow and Yerevan to Baku’s satisfaction,
he suggested. “[D]ispleasure is growing within the government with the
fact that Azerbaijan is making economic concessions to Georgia all the
time,” Mammadov added. After Azerbaijan made “serious concessions” to
Georgia on transit tariffs for the Baku-Tbilisi-Ceyhan oil pipeline,
the Georgian government initially asked for compensation for the
financial losses the Georgian port of Batumi would incur once the
Kars-Akhalkalaki-Tbilisi-Baku railway project with Azerbaijan and
Turkey is complete, he noted.
Georgia later withdrew its demand, according to officials, but
Mammadov contends that the request still rankles. Azerbaijan has
granted credit to Georgia for the construction of a 29-kilometer
railroad from Akhalkalaki, the main town in the predominantly ethnic
Armenian region of Samtskhe-Javakheti, to Georgia’s border with Turkey,
and to repair a 160-kilometer railroad from Akhalkalaki to the border
with Azerbaijan. “I think that this situation has begun to irritate
[President] Ilham Aliyev’s administration,” Mammadov commented.
Turan energy expert Shaban contends that the problem may just be a
question of over-sized expectations. “Saakashvili often stated that
the launching of gas production from Shah Deniz will solve Georgia’s
all energy problems,” Shaban said. “He made a mistake as we can see
now: Georgia is still dependant on Russia’s gas.”
Editor’s Note: Rovshan Ismayilov is a freelance journalist based
in Baku.

CRUCIANELLI: BASIC WAY TO SETTLE KARABAKH ISSUE POLITICAL
PanARMENIAN.Net
19.10.2006 13:07 GMT+04:00
/PanARMENIAN.Net/ October 8 Secretary of the National Security
Council at the President of Armenia Serge Sargsyan met with Italian
Deputy FM Famiano Crucianelli. As Spokesperson for the Armenian MOD,
colonel Seyran Shahsuvaryan told PanARMENIAN.Net, Italian Ambassador to
Armenia Marco Clemente was present at the meeting. During the meeting
Famiano Crucianelli expressed readiness of the Italian party to assist
Armenia in European integration. He was also concerned with the fact
that Turkey aspiring to the EU blocks Armenian borders. Speaking of
Armenian-Italian military relations, the parties noted the need for
expansion of bilateral cooperation. Reforms within Armenia-NATO IPAP
was also discussed. Touching upon the Nagorno Karabakh settlement
S. Sargsyan said, “the problem should be solved by peaceful tools via
compromises exclusively.” In his turn Famiano Crucianelli said that the
basic way to solve the Karabakh issue is the political one and the OSCE
MG has an important role in it. As for regional security, the Armenian
MOD Head said, “We find ourselves in a hard geopolitical region and
Armenia, being interested in regional stability, to the best of its
humble capacities participates in ensuring international security.”

NGO CREATING A SPECIAL RESERVE ZONE IN ARMENIA’S SOUTH
Armenpress
Oct 20 2006
KAPAN, OCTOBER 20, ARMENPRESS: An environmental non-governmental
organization in southern Armenian province of Syunik has launched
this past April a new project aimed to create a special reserve zone
that stretches from Kaputan Mountain to Gazanalich small lake.
The organization, called Khustup, has received $174,000 from Critical
Ecosystem Partnership Fund (CEPF) to carry out the project. Vladik
Martirosian, the chairman of this organization, said this area was
chosen to become a special reserve because of its unique geographical
location. It is about 2000 meters above sea level with many animals,
birds and plants registered in Armenia’s Red Book.
The projected is being assisted bye experts from Zoology and Botanic
research institutes affiliated with the Armenian National Academy
of Sciences. The project is to last 2.5 years and only then the
organization will ask the government to declare this area as reserve.

US AMBASSADOR TO OSCE REGRETS ON NOT MEETING WITH ARMENIAN PRESIDENT
PanARMENIAN.Net
19.10.2006 13:29 GMT+04:00
/PanARMENIAN.Net/ US Permanent Representative to the OSCE Julie
Finley considers invitation of OSCE observers crucial at parliamentary
elections in Armenia in 2007, she told journalists in Yerevan October
19. Finley noted that one of her interlocutors during an informal
meeting in Yerevan said that Armenian authorities nevertheless are
going to invite OSCE observers. “We urge the Armenian Government
to invite both long-term and short term missions. If you want OSCE
observers to follow the elections, you should put pressure upon your
Government, as we cannot monitor without an invitation,” she added.
Answering a question how fair and transparent elections are possible
in Armenia, Finley said, “All my interlocutors in Armenia say that
the Armenian party intends to hold democratic elections in 2007 and
I do not have any ground for not believing them yet.”
She regretted very much on Armenian President not receiving her and
she supposed that the President’s schedule was too busy. “To all
appearance, he did not meet with me, as he thought I do not possess
charm and I am not interesting as an interlocutor,” she said.
“However, this was the only negative aspect of my visit. Maybe, he
could not meet with me, as he supposed that I will teach him what
and how to do,” she said.
Meanwhile, US Permanent Representative to the OSCE did not ask for a
meeting with the Armenian President in advance. Besides, in compliance
with the protocol, an Ambassador of a foreign state or an organization
does not rank among officials, who are received by the President,
reports IA Regnum.

CHIRAC DID NOT PROMISE ERDOGAN TO INTERVENE IN ARMENIAN GENOCIDE BILL ADOPTION
PanARMENIAN.Net
19.10.2006 14:10 GMT+04:00
/PanARMENIAN.Net/ French opposition Socialist Party’s lawmakers,
who proposed the controversial ‘genocide’ bill adopted last week by
Parliament, criticized French President Jacques Chirac for telling
Prime Minister Recep Tayyip Erdogan he was sorry that French lawmakers
approved the bill – making it a crime to deny that Armenians were
subjected to a Genocide at the hands of the Ottoman Empire. “It is
disappointing that he [Chirac] apologized over parliamentary work,”
said Didier Migaud, deputy from the Socialist Party.
Erdogan said over the weekend that Chirac called him and said he was
sorry and also promised to “do everything he could in the following
process,” referring to the readings through which the bill must pass
before becoming legislation. Chirac, during a visit to the Armenian
capital of Yerevan last month, said Turkey must recognize the alleged
Armenian genocide, before it can join the European Union. An official
from the French Foreign Ministry, referring to a telephone conversation
between Chirac and Erdogan, reportedly said Jacques Chirac did not
make a pledge that he would intervene or ensure that the bill was
annulled, Turkish Daily News reports.
From: Emil Lazarian | Ararat NewsPress

FIRST EVER POLISH-ARMENIAN AND ARMENIAN-POLISH DICTIONARY PUBLISHED
Armenpress
Oct 18 2006
YEREVAN, OCTOBER 18, ARMENPRESS; A Polish publisher in Krakow has
published the first ever Polish-Armenian and Armenian-Polish dictionary
that contains about 15,000 entries in each section.
The dictionary was compiled by Polish and Armenian professors at
Jagellon University in Poland.
Rafael Hambardzumian, a Yerevan-based professor, who also was involved
in the work, said the dictionary is intended for those Poles who want
to learn Armenian and thousands of ethnic Armenians who have settled
in recent years in Poland.

ARMENIA NEEDS 1,700 FAMILY DOCTORS
Armenpress
Oct 18 2006
YEREVAN, OCTOBER 18, ARMENPRESS: Around 1000 Armenian family doctors
and as many hospital nurses are expected to have been trained by 2009
as part of a program designed to upgrade Armenia’s health system.
This program is supported by a World Bank credit.
Some 600 family doctors and 300 nurses have been trained
already. Samvel Hovhanesian, dean of family doctors department of
the National Health Institute, said the training of family doctors
and nurses will go on after the completion of the World Bank credit
program. He said in line with international standards Armenia needs
a total of 1,700 family doctors.
He said the institution of family doctors has been introduced already
in the majority of Yerevan clinics.
In 2008 it will embrace the whole of Armenia, he said.
From: Baghdasarian

ARMENIANS DO NOT HURRY TO QUIT SMOKING
Armenpress
Oct 18 2006
YEREVAN, OCTOBER 18, ARMENPRESS: David Petrosian, the chief manager
of a special center established last year in Yerevan to help people
wishing to quit smoking, said to Armenpress his country fellows were
not in a hurry to try do quit smoking.
Smokers wishing to give up this pernicious habit have to pay $50 to
doctors of this special anti-smoking center who offer medications
and psychological consultations to help quit smoking.
Petrosian said overall 17 people have asked for the center’s help in
12 months, but 2 people began smoking again, but he argued this did
not mean that Armenians were reluctant to quit smoking.
“We have to step up drastically the anti-smoking campaign to see
progress,’ he said The treatment of each patient here depends on
the extent of their tobacco dependence. David Petrosian cited some
figures saying that this sort of centers have helped to reduce the
number of smokers in the USA and some European countries from 70 to
25 percent. The center has a dietitian to consult people fearing they
may put on weight after quitting smoking.
The World Health Organization estimates that 63.7 percent of Armenian
men are smokers – the highest rate in Europe. By comparison, an
estimated 60 percent of men in neighboring Georgia are smokers and
31.2 percent in Azerbaijan.

BASE METAL EXPANDS PRODUCTION VOLUMES IN NAGORNO-KARABAKH
Armenpress
Oct 18 2006
STEPANAKERT, OCTOBER 18, ARMENPRESS: Base Metal company that has been
running the Drmbon gold and copper mine in Nagorno-Karabakh since 2002
has increased production volumes up to 300,000 tons of processed ore.
Company’s executive manager Artyom Mkrtumian said as a result the
company’s annual output this year will amount to $30 million. He
said the company plans to raise this figure up to 400,000 tons in the
second half of 2007, which he said would be possible after the local
plant’s reconstruction which though was built 3 years ago needs to
be expanded in view of the growing production volumes.
The chief manager said the company has already invested $20 million
with the bulk of this sum going to building of its infrastructure. By
the way, the plant was built in a site with no infrastructure at
all. He said the company plans to invest annually around $7 million
in construction of apartments for workers. The company employs now
1,600 workers with an average wage of 142,000 drams.
In terms of tax obligations this is the biggest company in
Nagorno-Karabakh. He said several more mines are expected to be
commissioned in the next couple of years. The Drmbon mine has estimated
4 million tons of ore. It can be exploited for another 10-12 years.

JUSTICE MINISTER SAYS HIGHER SALARIES OF JUDGES NOT A PANACEA FOR CORRUPTION
Armenpress
Oct 19 2006
YEREVAN, OCTOBER 19, ARMENPRESS: Justice minister David Harutunian
warned yesterday that an expected rise of salaries of court judges
should not be reviewed in the context of an anti-corruption struggle,
saying judges must have high salaries so that to enjoy the trust of
the society.
“It is not a secret that the weight of any position is decided by the
amount of salary set for it and the rise of court judges’ salaries
supposes a higher degree of their independence,” he argued.
The minister said one of the ways to fight corruption in the system
was to introduce innovations such as providing by judges detailed
explanations of their verdicts. Besides, he said, all court acts and
rulings will become accessible to all through Internet.
He said one of the innovations is that parties in the court trial will
be allowed to cite previous rulings on similar cases as precedents.