Azerbaijan’s energy system is at a crossroads. Longstanding and substantialnatural gas and electricity subsidies have disincentivised investments andprogress on energy efficiency. Reliance on natural gas for energy and economicgrowth has limited diversification and increased exposure to global fossil marketvolatility. In recognition of these and other issues that present challenges toAzerbaijan reaching its COP28 commitment to transition away from fossil fuels,the Government of Azerbaij
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