Ministry of Energy signs contract with McKinsey & Company

The Ministry of Energy and McKinsey & Company, one of the leading consulting companies in the world, have signed a contract for detailed diagnostics of the gas supply system in Azerbaijan. According to the agreement, the company will provide consulting services to the Ministry of Energy for the preparation of proposals on reforms in this field in order to increase the efficiency of the gas supply system in the country and to provide a reliable customer satisfaction taking into account the advanced international experience.

Based on the diagnostic results, the Ministry of Energy will prepare detailed proposals on preventing losses in the gas supply system, improving the accuracy of changing gas consumption in the country, and improving and modernizing the control system. Also, based on the diagnostic results, proposals will be prepared for a phased transition to market relations in the gas supply system, improving the efficiency of investment and improving the normative-legal base. The legislative initiatives required for the reforms are planned to be included in the new draft Law of the Republic of Azerbaijan “On Gas Supply”. 

It should be noted that the preparation of proposals for reforms to improve the efficiency of the country's gas supply system and reliably ensure consumer demand was entrusted to the Ministry of Energy by order of the President of the Republic of Azerbaijan dated May 29, 2019 No. 1209 “On accelerating reforms in the energy sector of the Republic of Azerbaijan”.  In accordance with the order, the Ministry of Energy was also instructed to prepare a new draft Law of the Republic of Azerbaijan “On Gas Supply” based on proposals.