Azerbaijan plans to incorporate state support measures for business development into its carbon assessment framework, the country’s Economy Minister Mikayil Jabbarov said at an international conference on carbon assessment organized by the State Tax Service in Baku, Report informs.
The minister emphasized the importance of balancing the interests of small and medium-sized businesses while supporting their growth trends.
"The process of carbon pricing in Azerbaijan will involve state support measures for business development, taking into account the interests of small and medium-sized businesses, supporting their growth trends, and reinvesting the collected funds and carbon taxes back into businesses," Jabbarov stated.
The minister further highlighted that the country's transition to a low-carbon economy and alternative energy will be supported through various means, including tax policy. "Our tax policy is an essential link in economic and political processes, and this effective tool will play a crucial role in attracting private investment, combating climate change, and expanding the use of green technologies," he added.
Jabbarov also pointed out that Azerbaijan's State Tax Service is currently studying best international practices to determine the scope of environmental and green taxes. He added that the country's efforts towards a green transition extend beyond its borders, with plans to implement regional and even global initiatives.
"We should evaluate the regional application of practices and pilot projects implemented in Azerbaijan. Our country can make many contributions to this process," Jabbarov noted.
The minister underlined the importance of international cooperation in achieving the broad impact of any policies and tools. "We should not carry out this process alone. To achieve a wide-ranging effect of any policy and tools, we should implement it along with international partners," he concluded.