In recent years, the reduction of water resources and the increase in droughts in the country have brought food and other security issues to the fore.

In this regard, the rich water resources of the liberated territories have opened up new opportunities for solving the problem.

Azerbaijan Amelioration and Water Management OJSC implements projects in this direction in Karabakh and East Zangazur territories.

But how transparent is the government regarding the country's fateful issue?

The list of initial investment projects related to land reclamation and water management was announced in the I State Program for the Great Return approved by the president on November 16, 2022. However, no information is provided regarding the expenses incurred.

Our information inquiry to the Presidential Administration on this remained unanswered.

On the Public Procurement portal, we find tender information for the construction of reclamation and water management systems in the amount of 178 thousand manats in 2021 and 380 million manats in 2022.

Gubadli

A tender of 317 million manats was held in 2022 for the reclamation projects to be built on the Hakari River. In addition to local companies, Turkish companies were also involved in the construction works carried out here.

"Nord West Construction" LLC, as one of the local companies, received 188 million 751 thousand manats for the preparation of project-estimate documents, as well as construction and installation works on providing irrigation water to the agricultural fields located on the right and left banks of the Hekari River in 2022. When the company acquired these projects through a tender, it owed 11.1 million manats to the tax authorities.

According to the legislation, however, the company participating in the tender should not have a tax debt.

Among the founders of the company's Latvian subsidiary "Nord West Baltic" is the name of Rufat Guliyev, co-founder and director of the Azerbaijan Trade House of the Ministry of Economy in Latvia.

The "Cengiz İnshaat Sanayi ve Ticaret" company, which is close to the family of Turkish President Recep Tayyip Erdogan, also received 128 million 210 thousand manats for the preparation of project-estimate documents and the implementation of construction works of the reservoir built at the junction of Hakari and Zabukh rivers.

Interestingly, during President Ilham Aliyev's visit to Gubadli district, Zaur Mikayilov, the Chairman of Amelioration and Water Management OJSC, reported that the proposals regarding the creation of a water reservoir at the junction of Zabukh and Hakari rivers and main canals to be separated from it were made by the Turkish consulting company "Su Yapı". However, there is no information about this company on the Public Procurement portal.

From the words of Zaur Mikayilov, it is understood that the irrigation system, which will cost the state budget 100 million manats, will provide water to 1900 hectares of "Dost Agropark" company, 1700 hectares of "Dost Agriculture Livestock" company and thousands of hectares of farmland of other companies.

"Dost Agropark" and "Dost Agriculture Livestock" are companies belonging to Abdulkadir Karagoz, son-in-law of Turkish President Erdogan's brother.

Mehmet Zeki Tughrul, the legal representative of "Dost Agropark" LLC, is represented in the youth branch of the ruling AK Party in Turkey.

Aghdam

In 2022, about 17 million manats are planned for reclamation and restoration of the water management complex in the liberated territories of Aghdam District. The repair and restoration of the Khachinchay reservoir located in Aghdam was entrusted to "Korpu-Bina Tikinti" LLC, and about 10 million manats were allocated in this regard for 2022.

The same company was also entrusted with repair and restoration of the Sugovushan water reservoir winning a tender worth 12.2 million manats.

Established in 2001, "Korpu-Bina Tikinti" is one of the companies receiving the largest state orders. The name of Khaliq Goyushov, the legal representative of the company, had been mentioned as a close associate of the former Minister of National Security of Azerbaijan, Eldar Mahmudov, in the scandalous criminal case known as the "MTN case".

"Hydrotrans Engineering Muhandislik Markazi" LLC was entrusted with the preparation of technical and economic justification for the reclamation of the Khachinchay river main channel in Jabrayil district and the restoration of the water management complex.

The company won a tender worth 1.3 million manats for the development of projects.

The company also won a tender worth 73,000 AZN for the design of repair and restoration works at the dams of Kondalanchay river and Sugovushan Reservoirs.

The legal address of "Hydrotrans Engineering Muhandislik Markazi" is the same as the registered office of "Euro-Asia Construction Corporation Evrascon" OJSC, which is connected to former Deputy Prime Minister of Azerbaijan Abid Sharifov.

This company is famous for the implementation of the country's largest state orders.

Fuzuli

Company named "Ramco" carries out repair and restoration works on the dams of Kondalanchay water reservoirs.

About 11.5 million funds were allocated to the company for the implementation of these projects.

"Ramco" CJSC was established in 2010 and legally represented by Rovshan Abdullayev.

In the Tax Register, many companies can be found in the name of Rovshan Abdullayev and his family members. Some of these companies are connected to Azer Asadov, who worked as a department head in the Ministry of Taxes until 2020.

Azer Asadov is also the son of Asaf Asadov, the former advisor of the Ministry of Taxes of Azerbaijan and the director of the Business Center of the University of Economics.

The registered address of Rovshan Abdullayev and his family members is indicated as the address of the audit company "HS Consulting" LLC, founded by Azer Asadov.

However, the activities of the Abdullayev-Asadovs in Karabakh are not limited to these 

The family is also close to the Turkish company “SU PEK PROJECT AND CONSULTANCY” which won a tender of 3.5 million manats for the preparation of feasibility studies and project documents for the restoration and development of the reclamation and water management complex of Fuzuli district.

Namely, the legal address of the Turkish company's Azerbaijani branch is the same as the legal address of Rovshan Abdullayev's "Caspian Equipment Company" OJSC.

Moreover, the legal representative of the company, Kamal Baghirov, previously worked in management positions at "GMC Group" LLC owned by Rovshan Abdullayev.

Jabrayil

About 1.7 million manats have been allocated for the preparation of technical-economic justification and project-estimate documents related to the construction of the main irrigation channel from the "Giz Galasi" Reservoir, which is being built on the Araz River, on the international border of Jabrayil between Iran and Azerbaijan.

The winner of the tender is joint venture of "Hydro-Geo Environnoment Group" LLC and "Hinal Proje" LLCs

Saleh Seyfullayev, who was the chief engineer of Azersu’s “Sukanal” Scientific-Research and Design Institute, is the legal representative of the company. The joint venture has  won the large-scale tender by "Azersu" OJSC

Saleh Seyfullayev claims that currently he has no connection with "Azersu" OJSC. Despite presenting himself as the legal representative of "Hydro-Geo Environnoment Group" LLC, he hesitated to answer the question about since when he has been working there

Economist Elchin Rashidov says that Amelioration and Water Management OJSC is interested in exaggerating the value of the projects it implements.

Economist Elchin Rashidov: "I myself have been involved in the projects of Amelioration and Water Management OJSC as a trainer, participated in their work, and have seen that they are interested in implementing, for example, very expensive projects and are not inclined to cheap alternatives.”

Economist Elchin Rashidov

According to the economist, a methodology should be developed to evaluate the efficiency of investments in the field of land reclamation and water management

Economist Elchin Rashidov: "Rules in this field should be adopted and regulated so that technical and economic justifications are properly prepared and the most efficient projects are chosen against the criteria of the best interest of farmers, drinking water consumers and the economic interest of the country. Since such rules are absent, they are mostly tailored to the interests of decision-makers in that particular field. And, of course, it can never be optimal since the projects are adapted to their own interests."

Amelioration and Water Management OJSC did not answer the above-mentioned questions.

In Karabakh,  the companies in the water management industry enjoy smooth operations, however, the issues related to their selection and expenses are not as transparent as water.

More:
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