Azerbaijan considers Iran as its primary partner in electricity sector

According to IRNA news agency, it added that Azerbaijan imports over 40-60 million kilowatts of electricity from Iran.

It added the company plans to increase its electricity imports to 700 megawatts.

It said that cooperation between the two nations will provide good opportunity for supplying the electricity to Nakhichevan Autonomous Republic.

The Nakhichevan Autonomous Republic is part of the Republic of Azerbaijan but is separated by Armenian territory.

It also said that various development and electricity projects underway by the Iranian experts will strengthen overall relations between the two nations.

"The two nations are also reviewing gas transportation to Azerbaijan and its transit to other nations including Europe." It added imports of natural gas from Iran is economically justifiable for Azerbaijan.

A natural gas swap contract between Iran and the Azerbaijan Republic was signed by former Iranian president Mohammad Khatami and Azerbaijan President Ilham Aliyev in August 2004.

Tehran-Baku trade exchange has increased sixfold since 1998 reaching close to about dlrs 600 million annually.

The bilateral trade volume to increase to dlrs one billion annually in the near future.

Also, in a meeting between visiting Iranian Industries and Mine Minister Alireza Tahmasbi and Azerbaijan's Minister of Economic Development Heydar Babayev ways of expansion of economic cooperation between the two nations were reviewed, the Iranian embassy in Baku reported here in June.

Tahmasbi added that among the potential projects discussed in his meeting with the Azeri president is joint construction of a tractor assembly line in Azerbaijan.

He said the Iranian-built 'Samand' automobile assembly line is a successful model for other joint projects.

"Another area of potential cooperation is a joint cement factory in which Iran has ample expertise," Tahmasbi said.

The Azeri official said the two nations have growing political and economic relations.