EUROPEAN PARLIAMENT

EU- PARLIAMENTARY COOPERATION COMMITTEE

MINUTES of the ELEVENTH MEETING

20-21 June 2011

BAKU

CONTENT

1. Opening remarks by the PCC Co-Chairs 2. Adoption of the draft agenda 3. Adoption of the minutes of the tenth meeting of the EU-Azerbaijan PCC held in Brussels on 2-3 December 2009 4. The state of play of relations between the EU and Azerbaijan in the framework of the negotiations on the EU-Azerbaijan Association Agreement Statements by: - The Government of Azerbaijan - The European Union 5. EU-Azerbaijan PCC: state of relations and the way forward - cooperation in the field of legislation approximation 6. Political dialogue and reforms in Azerbaijan - democracy, rule of law, human rights and fundamental freedoms: freedom of expression, freedom of assembly and freedom of the media 7. Contributing to a peaceful settlement of the Nagorno-Karabakh conflict 8. Cooperation in the field of justice, freedom and security - border management, migration issues - fight against organised crime, trafficking in human beings, drugs and money laundering - police and judicial cooperation 9. Economic issues - repercussion of the global economic and financial crisis on socio-economic developments in Azerbaijan and the EU - economic and social reforms in Azerbaijan 10. Improving the business and investment climate by strengthening the fight against corruption 11. Energy policy convergence with the EU acquis in the framework of the Eastern Partnership 12. Cooperation on regional initiatives 13. Any other business 14. Date and place of next meeting

Annex: List of participants

______PV\EN.doc 1 PE 467.639 The eleventh meeting of the EU-Azerbaijan Parliamentary Cooperation Committee (PCC) opened on 20 June 2011 at 4.10 pm, under the co-chairmanship of Mr Valeh ALESKEROV (Milli Mejlis of Azerbaijan) and M Milan CABRNOCH (European Parliament).

1. Mr Valeh ALESKEROV, Co-Chair of the EU-Azerbaijan PCC warmly welcomed the European Parliament Delegation to , opened the meeting and gave the floor to Co-chair Milan CABRNOCH.

Mr CABRNOCH stressed that since the last meeting of the PCC, in the end of 2009, Azerbaijan was receiving ever more attention. The European Parliament had participated in election observation, the Presidents of the European Commission and the European Parliament had recently visited Azerbaijan and the Czech President had done so only a few days ago. Mr CABRNOCH pointed to the big size and broad composition of the EP delegation: nine Members representing a cross-section of the political spectrum. He congratulated Azerbaijan on progress made in democracy, economic development, education and culture, as well as on its victory in the Eurovision Song Contest the previous month. He stressed that the objective was to contribute to further improvement of the relations and expressed the hope that the PCC meeting would achieve this objective.

Mr ALESKEROV pointed to the progressive expansion of the EU-Azerbaijan cooperation, of which intense meeting activity was an indicator. He called for reflection on the functioning of the PCC, stating that the existing format was not enough.

2. The draft agenda was adopted with no objection.

3. The minutes from the tenth meeting – held in Brussels on 2-3 December 2009 - were adopted, with an addendum under point 8 referring to the territorial integrity and the sovereignty of Azerbaijan.

4. The state of play of relations between the EU and Azerbaijan in the framework of the negotiations on the EU-Azerbaijan Association Agreement.

Co-Chair ALESKEROV opened this item underlining that the Association Agreement is equally important for both the EU and Azerbaijan since it brings benefits to both. He first gave the floor to the European Parliament's rapporteur on the negotiations of this agreement, Ms Anneli JÄÄTTEENMÄKI.

Ms JÄÄTTEENMÄKI stated that these negotiations represented an opportunity for deepening and enriching the relations and that the Association Agreement should represent a qualitative step forward, not merely a revision of the existing Partnership and Cooperation Agreement. It should aim at an approximation of standards, legislation and values. She noted that the Head of the Administration of the President of Azerbaijan, Mr MEHDIYEV, with whom the EP Delegation had met in the morning, shared the wish for rapid progress in the negotiations. Approximation of standards and legislation was important for trade and economic relations, the enhancement of which was mutually beneficial. At the same time, the expectations of the respective societies - which concerned in particular democracy, human rights and the rule of law - should be

______PV\EN.doc 2 PE 467.639 respected. Finally, Ms JÄÄTTEENMÄKI stressed the importance of regional stability, also for economic cooperation.

Co-Chair ALESKEROV commented, in relation to the last point made by Ms JÄÄTTEENMÄKI, that regional cooperation which included Armenia was not possible as long as it kept occupying a part of Azerbaijan and a million Azerbaijani citizens remained internally displaced persons. He insisted on the importance for the EU- Azerbaijani relations of the EU properly taking this situation into account.

A representative from the Ministry of Foreign Affairs of Azerbaijan, Mr Anar HÜSEYNOV, informed of the progress in the relations between the EU and Azerbaijan, including the setting-up of new subcommittees. He stated that the “conditionality” principle (“more for more”) contained in the Commission communication of 25 May 2011 on the review of the European Neighbourhood Policy should not serve as a basis for double-standards.

Mr HÜSEYNOV noted that progress had been made in the negotiations of an EU- Azerbaijan Association Agreement, although not in relation to how the Nagorno- Karabakh issue should be dealt with in the agreement. He insisted on the need to include several commitments by the parties in relation to the respect for the principles of territorial integrity, inviolability of borders and national sovereignty.

He stressed also the importance of the bilateral dimension of the Eastern Partnership (EaP) vis-à-vis the multilateral dimension.

The Head of the EU Delegation, Ambassador KOBIA, underlined that the EU is a reliable partner which defended the territorial integrity of Azerbaijan well before Azerbaijan had become an actor in the energy field, and recalled the different steps taken by the EU which show its commitment to Azerbaijan (signature of a PCA, Azerbaijan’s participation in the European Neighbourhood Policy (ENP) and the Eastern Partnership (EaP) since their inception, PCC-meeting held in Baku in 2008, launch of the negotiations of an Association Agreement in 2010). He also stressed the symbolism of the creation of EURONEST. He insisted that an Association Agreement constitutes the deepest form of agreement that the EU can offer to a partner, as shows the fact that a number of today’s EU Member States had one before they entered the EU.

Ambassador KOBIA underlined that the EU wants Azerbaijan to be a stable and a reliable partner, with a market economy and the rule of law and wants to base its relationship with Azerbaijan on peace, freedom, tolerance and mutual respect. He also underlined that with the Association Agreement, Azerbaijan will have greater access to the EU market and that people-to-people contacts will increase. He insisted on the potential importance of wind, solar and biomass-based energy in Azerbaijan and stated the interest for Azerbaijan – the largest and most populated country in the region - in fostering regional cooperation. He underlined the principle of differentiation enshrined in the fresh ENP communication and pointed to features distinguishing Azerbaijan from other EaP countries. Ambassador KOBIA stressed that the EU is very attached to the principles of sovereignty, independence and equality between partners and drew attention to that the EU supports the Minsk Group and aims to contribute to the Nagorno- Karabakh conflict resolution process with support for confidence-building measures.

______PV\EN.doc 3 PE 467.639 Mr KIRILOV welcomed the clarity of Ambassador KOBIA's statement.

Mr ALESKEROV stressed the importance of how the Nagorno-Karabakh issue is referred to in the Association Agreement.

Mr CABRNOCH underlined the importance of EURONEST.

Ms LUNACEK stressed that it must be learnt from the “Arab Spring” that the EU was too much focused on “stability” rather than on transformation of those societies towards democracy. In this context, she underlined the importance of the principle of “more for more” and its corollary “less for less”.

Mr ALESKEROV replied to Ms LUNACEK indicating that we should not be too optimistic about the “Arab Spring” since it is still uncertain whether it will bring more democracy or will mean the opposite.

[Mr HADJIGEORGIOU distributed a non-paper on a specific issue relating to Cyprus.]

Co-Chair ALESKEROV indicated that anything can be discussed but that the PCC was not the right forum to discuss the content of that non paper.

He also complained about the scarce presence of MEPs in the Parliamentary Cooperation Committee meetings. He insisted that “cooperation” implied “legislative” cooperation and that there is no such cooperation in PCC committees.

Co-Chair CABRNOCH stressed that PCCs are the right format for parliamentary cooperation and that the EP is just one of the institutions of the EU. The EP is a political body, with MEPs directly elected by the people, MEPs are not experts. He argued in favour of working in concrete areas but always in a political way. He also recalled the creation of EURONEST which could also contribute to the EP’s cooperation with its EaP partners. He recognised that too few MEPs participate in PCC meetings.

Co-Chair ALESKEROV underlined that he only wanted to increase the role of the PCC in “legislative” matters.

Mr KIRILOV found this an interesting idea and insisted on the importance that Members from different countries and political groups listen to each other.

Ms LUNACEK indicated that, in some areas, the EU level was not the right level for cooperation.

5. EU-Azerbaijan PCC: state of relations and the way forward – cooperation in the field of legislation approximation

6. Political dialogue and reforms in Azerbaijan - democracy, rule of law, human rights and fundamental freedoms: freedom of expression, freedom of assembly and freedom of the media.

Ms LUNACEK stressed the value of dialogue and trust and underlined the importance of advancing the reform agenda in order to address serious flaws persisting in Azerbaijan.

______PV\EN.doc 4 PE 467.639 She said that EU citizens' concern about developments in Azerbaijan was at the origin of the European Parliament's 12 May resolution on Azerbaijan and pointed out that it had been adopted with a big majority. The right to criticise must be accepted and critics should not be hit, nor put in jail.

Co-Chair ALESKEROV stated that the European Parliament is free to adopt critical resolutions and that Azerbaijan is free to take decisions. He recognised that there is room for improvement, but stated that when the right information is missing, wrong decisions are often taken. The EU Delegation could easily provide Members with examples of Azerbaijani newspapers and journalists critical of the government. The government was not against protests, although they should only be allowed in certain places (for instance, not at the entrance of busy metro stations). He stressed that he is in favour of the development of freedoms, but within a legal framework and in the interest of Azerbaijan. In the 1990s, piece after piece of the country's territory had been lost while protests were going on and also today, there were forces who could benefit from instability. Co-Chair Aleskerov also emphasised that the European Parliament Delegation was free to meet anyone it wished to meet in Azerbaijan.

Co-Chair CABRNOCH indicated that protesters, regardless of where they were (the Czech Republic or Belgium) preferred crowded places. In relation to the recently adopted EP resolution, he underlined the need to better communicate with the new partners and that we should not mix the concepts of majority and unanimity. When the Parliament adopted a resolution, this did not necessarily mean that all its Members or factions agreed on it. He advocated a previous resolution from the European Parliament stating the positive progress achieved by Azerbaijan.

Co-Chair ALESKEROV indicated that the main objective of a letter recently sent by the Milli Mejlis to the European Parliament was to underline the need to work closely together to better understand each other. He insisted that we can criticise each other, but always on the basis of a fluent exchange of information.

He recalled that in 1992, 1 500 people gathered around the Parliament and did not allow the MPs to get in until the government stepped down. In contrast, he said, protests in Belgium or the Czech Republic would never be allowed to continue until the government was forced to resign.

Co-Chair CABRNOCH replied that the government of the Czech Republic had recently been forced to resign after protests from the trade unions.

Mr HADJIGEORGIOU wondered who is entitled to measure progress in Azerbaijan and stated that no one should see a problem if a citizen demonstrates peacefully for the benefit of the country. He insisted that no one is entitled to say “I am the country; I know what is good for this country”.

Co-Chair ALESKEROV replied that it was up to voters to say what was in the national interest.

Ms ALIYEVA insisted that Azerbaijan wanted cooperation with the EU as equal partners and stated that both the EU and the US had expressed their disagreement with those who demonstrated in outside the authorised areas. Regarding the freedom of speech

______PV\EN.doc 5 PE 467.639 and assembly, she recalled the existence of a high number of newspapers and TV channels in Azerbaijan. She expressed the opinion that the PCC cannot be a good format of cooperation if we spend 6 months a year without cooperation.

Ms AHMADOVA indicated that it is the people of Azerbaijan who should decide what is good or bad. She said that the Musavat Party and the Popular Front had the intention to merge but decided not do so because no agreement on the leadership of the merged party could be found. She recommended MEPs to read what these parties wrote and familiarise themselves with the kind of criticism they made. She insisted that the families of MPs should never be insulted.

Ms AHMADOVA also stated that, in Armenia, an MP was in jail, but that no European Union body had reacted to this.

Mr ASADULLAYEV stated that protesters disturbed citizens. He recalled that during a visit to Brussels, it had been impossible to reach the European Parliament because of ongoing street protests. He wondered if a particular site for protests could not be assigned, so as to avoid such problems.

Mr MURADOV noted that this was the International Refugee Day and anticipated the discussion on the Nagorno-Karabakh conflict the following day by stating that this conflict was the most important issue and that EP attention to it was good.

The meeting was adjourned at 7.00 p.m. and resumed at 9.30 on 21 June.

7. Contributing to a peaceful settlement of the Nagorno-Karabakh conflict

Mr KIRILOV stressed that a peaceful settlement of the conflict was essential for the stability and the economic and democratic development of the region. He quoted the EP's statement a year earlier, in a resolution on the South Caucasus based on a report for which he had been rapporteur, that the status quo in the conflict is unacceptable and unsustainable.

The EU should tell Armenia that it would be good to start with a withdrawal from the occupied territories. Since Armenia considers that Azerbaijan could take advantage of the situation this would create, the EU should offer peacekeepers and such a proposal could be discussed in EURONEST, Mr Kirilov said. He referred to the hearing on Nagorno- Karabakh which had taken place in the Committee on Foreign Affairs on 15 June 2011 and underlined that the Members of the Committee had put pressure on the US and French co-Chairs of the Minsk Group stating the need for concrete results.

Ms Leyla ABDULLAYEVA, from the Ministry of Foreign Affairs of Azerbaijan, made a presentation on the situation regarding Nagorno-Karabakh, accusing Armenia of simply trying to consolidate the status quo, separating Nagorno-Karabakh from Azerbaijan. She underlined that Azerbaijan was ready to show flexibility, but always within international law. She claimed that in relation to the population, Armenia's military expenditure was greater than Azerbaijan's.

Mr HADJIGEORGIOU, in reply to Ms ABDULLAYEVA’s intervention, insisted that attempts to agree on the basic principles for conflict resolution had been going on for 20

______PV\EN.doc 6 PE 467.639 years and that there was an urgent need to start negotiating an agreement. He warned against the referendum idea, which he considered a trap.

Mr HADJIGEORGIOU put forward the idea of Cypriot mediation in the Nagorno- Karabakh conflict, as well as between Armenia and . He criticised the opening of a flight connection between Azerbaijan and Northern Cyprus, which he considered a violation of international law.

Mr ALESKEROV referred to the role of the mediators, the US, France, Russia, but also the EU.

Ms ABDULLAYEVA referred to the non paper which had been distributed by Mr HADJIGEORGIOU and stated that Azerbaijan had not recognised Northern Cyprus as an independent country and had no intention to do so. She told that she had no official confirmation on the new flight connection to which Mr HADJIGEORGIOU had made reference and stressed that Azerbaijan respects international law. She also mentioned that there are indirect flights from Northern Cyprus to the UK and Germany and asked about the measures that Cyprus is taking against those countries.

Mr ISMAYILOV claimed that Nagorno-Karabakh had become a hotbed for international terrorism and that the EU was failing to insist on the need to respect international law.

Mr MURADOV thanked the European Parliament for its approach to the NK issue and support for conflict resolution. He insisted that Azerbaijan would like the EU to be in the centre of the solution of the Nagorno-Karabakh conflict.

Ms ABDULLAYEVA announced that as of September 2011 she would become the counsellor in charge of the European Parliament within the Mission of Azerbaijan to the EU.

Co-Chair ALESKEROV said that self-determination of all national minorities would mean 127 member states of the EU and 2 000 member states of the UN. He also referred specifically to the Hungarians living outside Hungary and the Roma people. Moldova and Georgia received another level of support for their territorial integrity than Azerbaijan. He concluded that when Azerbaijan would be a richer country, it would be respected by the entire international community.

8. Cooperation in the field of justice, freedom and security - border management, migration issues - fight against organised crime, trafficking in human beings, drugs and money laundering - police and judicial cooperation

Co-Chair ALESKEROV gave the floor to Mr NAGIYEV of the Border Service of Azerbaijan. In his presentation, Mr NAGIYEV insisted that organised crime groups used state-of-the-art weapons and other technology and underlined that Azerbaijan cooperates with international organisations in border control and border management.

Mr QEHREMANOV, from the State Migration Service, presented this service and indicated that Azerbaijan has started negotiations with the EU on legal approximation,

______PV\EN.doc 7 PE 467.639 had increased the transparency in migration management and had created a data base on foreigners living in Azerbaijan. He informed that Azerbaijan was working with the EU and also with Germany and the Netherlands on a project related to the return of illegal immigrants.

Mr QULIYEV, from the Ministry of Interior, briefed on trafficking in drugs and human beings, underlining that there were areas without control near the frontier with Iran through which drug trafficking and transit took place.

Co-Chair CABRNOCH underlined the EP's support for more multilateral activities and initiatives in the thematic platforms set up in the framework of the EaP. Cross-border projects, people to people programmes and incentives for regional cooperation in order to strengthen social cohesion were important. He said the EP encouraged Azerbaijan to cooperate more closely with its neighbours and to engage in an enhanced dialogue inter alia on the fight against organised crime, trafficking in human beings, illegal immigration, terrorism, money laundering and drug trafficking, as well as police and judicial cooperation.

Ms RIERA MADURELL asked for additional information on trafficking of women for sexual exploitation. Mr QULIYEV replied that Azerbaijan is only a transit country.

Ms AHMADOVA said that the main route for drugs was Iran – Nagorno-Karabakh – Turkey – EU and for trafficking of women Armenia – Georgia – Turkey. She concluded that in contrast to Armenia, Azerbaijan was not a country of origin for trafficked women and promised to send written information on this issue to MEPs.

Co-chair ALESKEROV proposed to move directly to item 11 of the agenda.

11. Energy policy convergence with the EU acquis in the framework of the Eastern Partnership.

Ms RIERA MADURELL indicated that cooperation in the energy sector has been mutually beneficial to Azerbaijan and the EU and underlined that the EU supports moving forward in energy cooperation since we share interests and are concerned by the same challenges, namely diversification of supply and transport and the security of exports. For the EU, this is a matter of security of energy supply.

She advocated integration of energy markets, improvement of existing and construction of new infrastructure. She stressed that the development of the Southern Corridor was of mutual interest and that Nabucco was its key element.

She insisted on the importance of also promoting energy efficiency and renewable energy sources, not only because oil and gas are limited, but also to increase diversification and to contribute to the fight against climate change.

She mentioned President BARROSO’s and Commissioner ÖTTINGER’s visit to Azerbaijan and concluded that energy cooperation should go hand in hand with the improvement of democratic and human rights standards, making reference to the EP’s resolution.

______PV\EN.doc 8 PE 467.639 Finally, she indicated that EURONEST opens a new form of cooperation, with a Committee on Energy Security.

Co-Chair ALESKEROV stated that lack of serious EU support was the main problem with the Southern Corridor and that gas should not be sold at the border, but in the consumer countries. He said that € 7.5 billion were needed to build Nabucco.

9. Economic issues - repercussion of the global economic and financial crisis on socio-economic developments in Azerbaijan and the EU - economic and social reforms in Azerbaijan

Co-Chair ALESKEROV then gave the floor to the Deputy Minister of Development, Mr SAFAROV, who underlined that Azerbaijan is a dynamic country, and that the impact of the financial crisis on Azerbaijan had been minimal. He informed that half of the population of the country lived in rural areas, that agricultural producers had been almost fully relieved of tax obligations and that the government had increased the number of loans for equipment and agricultural development. He stressed that over the last ten years, poverty had been reduced from 49% of the population to 9% and that great progress had been achieved in human development.

Ms LUNACEK asked about the gender balance in the work force and whether any specific measures in relation to women were taken. The Deputy Minister replied that gender issues were always taken into account and that there were no real problems in Azerbaijan in that respect. He underlined that in Azerbaijan women were present at all levels of society.

Ms AHMADOVA said that the role of women in Azerbaijan had not reached yet the right level. She mentioned a project which was being carried out together with the EU for the promotion of women in economic and entrepreneurial activities. She noted that the situation of women was better in Baku than in the regions.

Mr BINEV asked about Azerbaijan's relations with the “BRICS”, particularly with China. He also requested information on the government's objectives for the development of the regions within the country.

Deputy Minister SAFAROV replied that Azerbaijan conducted negotiations with many countries, including Russia and China. Relations with Brazil and India were also deepening. He stressed that regional development was one of the government's top priorities and that over one million jobs had been created in the last few years. He highlighted the efficiency of “soft” loans and the simplified tax system (which relieved farmers of all other taxes than land tax). The Deputy Minister encouraged MEPs to visit the Azerbaijani regions in order to observe directly the progress being made there.

Ms RIERA MADURELL asked about the government plans to expand internet networks to the regions. Deputy Minister SAFAROV indicated that the government is developing e-government and that the number of internet users had increased so that 62 % of the population now had access to the internet

______PV\EN.doc 9 PE 467.639 Co-Chair ALESKEROV informed about a project to launch a satellite to increase communication services to the population.

Before concluding, Mr ALESKEROV indicated that he would be very much interested in discussing how the EU is reacting to the economic crisis, which was creating serious social and economic problems in the EU.

Points 10 and 12 of the agenda were not discussed.

14. Date and place of next meeting

Co-Chair CABRNOCH thanked Co-Chair ALESKEROV for his hospitality and underlined the interesting character of all the discussions held. He pointed to the friendly atmosphere and open-mindedness with which also issues on which there was no agreement had been dealt with. He expressed his conviction that cooperation would grow deeper and that EURONEST constitutes a new opportunity for improving cooperation. Finally, he suggested holding the 12th PCC in the spring of 2012 in Brussels.

Co-Chair ALESKEROV thanked the EP delegation and suggested to have also the next PCC meeting in Azerbaijan, notably in one of its regions.

The meeting closed at 12.15.

______PV\EN.doc 10 PE 467.639 ANNEX EUROPEAN PARLIAMENT

11th EU-AZERBAIJAN PARLIAMENTARY COOPERATION COMMITTEE

20-21 June 2011

Baku

List of participants

Members

Mr Milan CABRNOCH, Czech Republic, ECR, Chairman Mr Evgeni KIRILOV, Bulgaria, S&D Mrs Teresa RIERA MADURELL, Spain, S&D Mrs Ulrike LUNACEK, Austria, Greens/EFA Mr Takis HADJIGEORGIOU, Cyprus, GUE/NGL Mr Slavi BINEV, Bulgaria, NI Mrs Anneli JÄÄTTEENMAKI, Finland, ALDE, Rapporteur

Secretariat of the Delegation

Mr Dag SOURANDER, Administrator Mr Marcos ALONSO ALONSO, Administrator Mrs Françoise CLAES, Assistant

Secretariat of the Political Groups

Mrs Laura PEARSON, S&D Mr Renaldas VAISBRODAS, ALDE

Interpreters

Mrs Eva MATONOKOVA (English-Czech), Teamleader Mr Zbynek GROSS (English-Czech) Mr Jakub RENNER (English-Czech) Mr Kamran AKHMEDOV (English-Azerbaycan) Mr Fuad AKHUNDOV (English-Azerbaycan) Mr Israfil KHAKIYEV (English-Azerbaycan)

Abbreviations : EPP European People's Party ECR European Conservatives and Reformists S&D Progressive Alliance of Socialists and Democrats EUL/NGL European United Left/Nordic Green Left ALDE Alliance of Liberal and Democrats for Europe EFD Europe of Freedom and Democracy Greens/EFA Greens/European Free Alliance NI Non-attached

______PV\EN.doc 11 PE 467.639 REPUBLIC OF AZERBAIJAN

THE MILLI MEJLIS

Delegation from the Azerbaijani Parliament to the EU-Azerbaijan Parliamentary Cooperation Committee

Members

Mr Valeh ALESKEROV Independent Chairman Deputy Speaker of the Milli Mejlis

Ms Gular AHMADOVA New Azerbaijan Party Mr Rauf ALIYEV New Azerbaijan Party Ms Jala ALIYEVA Independent Mr Chingiz ASADULLAYEV Independent Mr Cavanshir FEYZIYEV Independent Mr Ulvi GULIYEV Independent Mr Ilyas ISMAYILOV opposition (Party of Justice) Mr Asim MOLLAZADE opposition (Democratic Reforms Party of Azerbaijan) Mr Fuad MURADOV Independent Mr Rovshan RZAYEV Independent

Secretariat

Mr Rahim AKHUNDOV

______7 June 2011/fc

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