The “Rules for the calculation and payment of subsidies paid by carriers performing regular passenger transport by road for the provision of distance-based road transport services” were approved by Decision No. 250 of the Cabinet of Ministers dated July 31, 2026.
The Azerbaijan Land Transport Agency (AYNA) informed elchi that the rule will create conditions for the payment of subsidies for regular passenger transport carried out by compressed natural gas (CNG) and electric buses in Baku, Sumgayit, Nakhchivan, and Khankendi, as well as in Absheron, Aghdam, Shusha, and Lachin districts, and by diesel-powered buses produced after January 1, 2025, in Ganja.
It should be noted that the rule has no connection with the regulation (including the increase) of fare tariffs. In accordance with the new rule, carriers meeting the above-mentioned requirements will be paid a subsidy by the state based on the distance traveled, regardless of the number of passengers.
As a result of the implementation of the new rule, reforms in public transport will be further accelerated, and a fundamental change will take place in the public transport management system. Including:
– the financial stability of carriers will increase;
– sustainable passenger transport activities will be provided on non-profitable bus routes. (For example, currently, carriers are not interested in providing services in a number of residential areas due to the low number of passengers. The new rules will make these lines attractive to carriers and accessibility will increase);
– conditions will be created for the operation of more modern and environmentally friendly buses on non-profitable routes;
– regardless of the number of passengers, carriers will be interested in providing quality service according to the established schedule. The biggest contribution of the new rules to transport is the “travel more distance, earn more” principle. Therefore, carriers will be interested in providing quality service.