1. 1 Legal foundations and institutional arrangements on Energy statistics in the Republic of Azerbaijan Yusif Yusifov, Head of division Industry, transport and communication statistics State Statistical Committee of the Republic of Azerbaijan yusify@azstat.org 2 May 2011 6 th Oslo Group meeting in Canberra, 2-5 May 2011

2. 2 2 May 2011 Legal base on Energy Statistics  Law on Official Statistics  Main and principal law in Azerbaijan  Accepted by the National Parliament of the Republic of Azerbaijan and confirmed by decree of the President of the Republic of Azerbaijan (1994)  Considered UN Fundamental Principles of Statistics  Considered Model law on statistics of EU  Appreciated by Global Assessment of National Statistical System of the Republic of Azerbaijan implemented by the Eurostat, EFTA and UNECE in 2010

3. 3 2 May 2011 Legal base on Energy Statistics  Best examples from the law on Official Statistics  Independence of statistics (Example from law: The state and non-government organizations shall not interfere to the implementation of powers of the state statistical bodies and not influence the staff of the statistical authorities in the performance of their tasks.)  Responsibilities of units (All legal entities (their representative and branch offices), and natural persons located in the territory of the Republic of Azerbaijan owe to submit data in the paper or e-document format which data would be presented and confirmed in accordance with corresponding legislative without charge to state statistical bodies in defined volume and period necessary for the conduction of state (regional) observations. )

4. 4 2 May 2011 Legal base on Energy Statistics  Access administrative data (All state and local bodies shall give the SSC of Azerbaijan access to administrative statistical information collected, processed and stored in the domain of their respective competencies, notably to registers and other data files, to the extent that is necessary for the production of statistics, thus avoiding the imposition of response burdens on the units concerned, and shall be submitted to the SSC of Azerbaijan by established deadline and form according to the Program of statistical works. )

5. 5 2 May 2011 Legal base on Energy Statistics  Confidentiality (Data collected, processed and stored for the production of Official Statistics shall be confidential when they allow statistical units to be identified, either directly or indirectly, thereby disclosing individual information, primary statistical data of legal and natural persons.  Relation between other institutions (The state statistical bodies shall work in cooperation with other government authorities and they: - provide the corresponding bodies with systematic information on the results of their work, on the state of the reporting system and economic and social processes occurring in the country and in its regions; - organise the production of Official Statistics within the country the submission of reports by the respondents by the set deadlines and according to rules, check their objectiveness.

6. 6 2 May 2011 Text 1 for ESCM: “ Conceptual framework and Legal foundations and institutional arrangements ” Legal base on Energy Statistics There are enough strong legal bases for carrying out Energy Statistics in Azerbaijan and mainly defines by the “Law on Official Statistics” of the Republic of Azerbaijan. Professional independence, principles of objectivity and justice of National Statistical System was affirmed in the Law. In the results of Global Assessment of National Statistical System of the Republic of Azerbaijan implemented by the Eurostat, EFTA and UNECE in 2010 noted that, “the SSC has clear mandate for data collection, including the data from natural persons and administrative sources” (source: Final report from the adapted global assessment of the nation statistical system of Azerbaijan, Luxembourg, estat/D/PE/D1/C1/PR/ap D (2011) 320 537)). All legal entities (their representative and branch offices) located in the territory of the Republic of Azerbaijan are obliged to provide obtaining of necessary statistical information on the base of official statistical reports, to organize present necessary data to the state statistical bodies in the e-document format for conducting of the state (regional) observations, to carry out sample observations besides general statistical observations (http://www.azstat.org/laws/law_en.pdf). So, legislation gives opportunity to formation of policy in the area of Energy Statistics, organization of observations, all authorities in the field of getting data and dissemination including administrative sanctions applied to units that do not provide data.http://www.azstat.org/laws/law_en.pdf

7. Background to the development of Energy Statistics 7  Reach energy resources (50% of GDP, contract of century, 51 million ton crude oil, 26.0 milliard cub- meter natural gas 2010, oil pipeline BTC, South Caucasus gas pipeline)  Creation of new institutions (Ministry of Industry and Energy, the State Agency on Alternative and Renewable Energy)  Increasing of needs (national policymakers, international organizations – IEA, UN, JODI and etc)

8. 8 2 May 2011 Text 2 for ESCM: “ Conceptual framework and Legal foundations and institutional arrangements ” Background to the development of Energy Statistics. The Republic of Azerbaijan has got rich natural resources as well as energy resources. As a result of successful implementation of national energy strategy, comprehensive and dynamic development of the oil sector, transnational projects in those countries demanded the implementation of adequate statistical study of official statistics, also formation of energy statistics according to the international standards and the preparation of the national energy balance. Integration of Azerbaijan to Europe, rapid influence to its energy market, reliable and alternative provider of energy for European countries, to become a partner created good backgrounds to the application of energy statistics based on European standards. At the same time, in the country there is Ministry of Industry and Energy, the State Agency on Alternative and Renewable Energy and also a division in the State Statistical Committee for carrying out Energy Statistics.

9. Policy of the Republic of Azerbaijan on Development of the Energy Statistics. 9  State program on statistics which approved by the President of Republic (11.5 percent (6 from 52) of considered activities in real sector concerning to energy statistics. As the main executor and coordinator of this program is fixed the State Statistical Committee and concrete execution date of the works demonstrated. )  Report for President and Prime Minister every year on carry out works (The State Statistical Committee of the Republic of Azerbaijan should report Government and President of the Republic of Azerbaijan once in a year about the progress of the works and were given tasks to the corresponding organization for the allocation of state budget funds).

10. Activity and aims for development of the Energy Statistics (1) 10  Examples from State Program  Activity 1. Working out of the methodological instruction on energy statistics (Improvement of the energy statistics covering used concepts and definitions and taking into account main point of the national energy statistics, source, observation methods)  Activity 2. Working out and improvement of the national energy balance according to the international standards (Reorganization of the energy statistics according to the international standards; comparability of national energy balance indicators with indicators of developed countries.)  Activity 3. Re-compilation of the official statistical report forms on energy, updating of the existed indicators, working out of the methodological recommendations (Correspondence of the existed report forms and methodology on energy statistics with international standards, improvement of the indicators)

11. Activity and aims for development of the Energy Statistics (2) 11  Examples from State Program  Activity 4. Improvement of the main indicator system of the energy statistics (Harmonization of the indicators of national energy statistics with international indicators)  Activity 5. Creation and improvement of the alternative and regenerated energy statistics’ sources (Obtaining of the statistical information on alternative and regenerated energy sources)  Activity 6. Statistical publication of “Energy in Azerbaijan” (Systematization and analysis of the statistical information on energy, presentation of this information to government, international organizations and other users)

12. 12 2 May 2011 Text 3 for ESCM: “ Conceptual framework and Legal foundations and institutional arrangements ” (1) Policy of the Republic of Azerbaijan on Development of the Energy Statistics. Improvement and carrying out Energy Statistics shall be considered as a priority of state and the highest level of development is supported. State Program on “improvement of Official Statistics in 2008-2012” approved directly by the President of the country in 2007at the highest level in the Republic of Azerbaijan. 11.5 percent (6 from 52) of considered activities in real sector concerning to energy statistics. As the main executor and coordinator of this program is fixed the State Statistical Committee and concrete execution date of the works demonstrated. The State Statistical Committee of the Republic of Azerbaijan should report Government and President of the Republic of Azerbaijan once in a year about the progress of the works and were given tasks to the corresponding organization for the allocation of state budget funds. (Source: http://www.azstat.org/dovlatproq/indexen.php). http://www.azstat.org/dovlatproq/indexen.php

13. 13 2 May 2011 Text 3 for ESCM: “ Conceptual framework and Legal foundations and institutional arrangements ” (2) The main activities and purposes were the followings.

14. Activities and institutional situation on improvement of Energy Statistics by the SSC of the Republic of Azerbaijan. 14  Examples from activities  Member of Oslo Group  Participation in the meetings of IEA, UNSD, JODI  Discussion of Energy Statistics each quarter  Creation of work group in Statistical System  From Global Assessment of National Statistical System of the Republic of Azerbaijan implemented by the Eurostat, EFTA and UNECE in 2010: (“Energy statistics in Azerbaijan has undergone a significant development in recent years and new initiatives have been undertaken or are planned for the near future. Taking into account its importance in Azerbaijan, the continuous process of the increase of availability and quality of statistics is highly desirable. The improvements in data availability and timeliness of data are related to statistics presented on the website of the SSC, which concerns mainly energy balances)

15. 15 2 May 2011 Text 4 for ESCM: “ Conceptual framework and Legal foundations and institutional arrangements ”  Activities and institutional situation on improvement of Energy Statistics by the State Statistical Committee of the Republic of Azerbaijan. Organization of Energy Statistics is one of the most important fields in the official statistics. Experts of organization durably take part in the activities of international organizations (UNO, IEA and so on.), also as a member of Oslo group in the discussions, seminars and workshops “on international recommendations on Energy Statistics” organized by UNO. There were more than 20 decisions by the chairman of the Committee in 2007-2010 on energy statistics as well as on energy balance and the structure of the balance submitted by the interested sides. In the preparation of commodity and energy balance the participation of representatives of the interested sides were provided and organized seminars and meetings. In the results of Global Assessment of National Statistical System of the Republic of Azerbaijan implemented by the Eurostat, EFTA and UNECE in 2010 noted that, “Energy statistics in Azerbaijan has undergone a significant development in recent years and new initiatives have been undertaken or are planned for the near future. Taking into account its importance in Azerbaijan, the continuous process of the increase of availability and quality of statistics is highly desirable. The improvements in data availability and timeliness of data are related to statistics presented on the website of the SSC, which concerns mainly energy balances”.

16. 16 2 May 2011 Thank you for attention!