Azerbaijan state university of economics

Chapter-1 Theoretical bases of studying transport and its role in economy

1. 
   Issues of formation and organization of transport and communication systems in the country
   

In society production is not for production, production is for consumption,which means that material benefits must be at the disposal of the consumer.After completion of this process, the production cycle can be considered complete on a public scale.This task can only be fulfilled by the types of transport.Transport is an important part of the global economy, as it is a material carrier among states.States specialization and their integration are impossible without the transport system.There is a deep history of transport in Azerbaijan.At all times, Azerbaijan had a very important geopolitical position that contributed to the development of transport since ancient times.The network of powerful trading routes, known as the Silk Road, has united nation and traditions of Europe and Asia.These historical routes have been a major transit corridor for the transfer of valuable goods, the transfer of information and knowledge across the East and the West, and for the first time led to the transformation of scientific and cultural traditions among the Silk Road countries.Trade routes of the Silk Road were expanded through China, Mongolia, Iran, Uzbekistan, Tajikistan, Azerbaijan and other countries.

The transportation of goods and transportation means in Azerbaijan is mainly classified as follow:

1. 
   Sea transport
   
2. 
   Pipeline transport
   
3. 
   Railway transport
   
4. 
   Air transport
   
5. 
   Truck transport
   

Due to the development of the oil industry in the transport sector of Azerbaijan, the railroad has developed more rapidly than other transport sectors.20 km long railroad was laid between Sabunchu-Surakhani oil fields on January 20, 1883 for the first time in Azerbaijan.Tsarist Russia grants Tbilisi-Aghstafa-Baku railway to transport Azerbaijani oil to Russian market. 500 km long Aghstafa-Baku railway was put into operation on the basis of this model in 1883.90% of oil produced in Azerbaijan via this railway was transported to Russia.95% of oil produced and used in Russia in the 1900s accounted for Absheron mines.In 1901, Baku-Derbent railway construction with a length of 211 km was completed in Azerbaijan.The agricultural products produced in Guba-Khachmaz region through this railway were exported to the Russian domestic market.In 1936, 39 km long Mincivan-Gafan railway was put into operation.During the Great Patriotic War, the Alat-Mincivan-Julfa railway is put into operation (445 km).Construction of the Ottoman-Astara railway (125 km) in 1939 was completed in 1941.The Yevlakh-Barda-Aghdam railway in 1963-65, extended to 1978 in Khankendi (105 km).In 1985 the Yevlakh-Sheki-Balaken railway was constructed (162 km).

Rail transport plays a crucial role in the country's economyand has strategic importance.This type of transport, along with the transportation of cargoes between the regions of the country, has a high carrying ability.Rail transport is considered to be the most favorable for transportation of public goods to far distances compared to other types of transport.The share of rail transport in total freight turnover is higher than other types of transport.Rail transport is considered to be auspicious at moving far away distances (fruits, cereals, dairy products, etc.). Air transport delivers fast-paced cargoes to consumers in proportion to other types of transport. One of the main advantages of rail transport compared with other types of transport is its ability to carry uninterrupted cargo and passenger transport during all seasons and hours of the year. For example, the water regime is affected by the seasonal and weather conditions.Aa a result of freezing of sea and river water in many places, transportation is suspended.During this period, the staff is provided with salaries and other payments and increases the cost of transportation. Rail transport is spend the least fuel and  this indicator shows itself more in the electric motors.Railway transport requires the cheapest fuel, but the car uses the most expensive fuel. Funding for the construction of the railway is relatively small compared to the cost of road construction. If we take 100.0% of the level of capital investment spent on the construction of a monolithic non-electrified railway,cost of the four-lane modern highway line is 2.0-2.5 times more than that. The favorable geographical location of the republic has affected the development of air transport as other transport areas. The first airplane of Azerbaijan landed in 1918 with a military character. After the creation of the Transcaucasian republic, the development of air transport began and the first time the mail and passenger transportation was carried out between Baku and Tbilisi on January 8, 1924. The construction of the first new airport in Baku began in 1931, and the construction of the second airport in Yevlakh in 1933 was completed. In 1937 Baku - Moscow air line was put into operation. Everyday, 15 passengers and mails were transported in both directions via Baku - Moscow airline.

Independence gained after gaining independence, along with a number of economic factors, created the basis of international relations with developed and developing countries of the world. Previously, the air transport was operated by the USSR, Azerbaijan had no independent airline. After 1990, access to independent airports allowed a number of foreign countries to enter the world market freely. Under current conditions, air communication by Azerbaijan, Europe, Asia, America and Australia has been established. In recent years, TU - 154, TU - 134 B, K - 10, Boeing aircraft are used for the transport of passengers and cargoes nationwide by air. The cost of transport of this type of transport is the highest compared to other transport. as well as air transport is the most suitable means of transporting loads of frozen (fruits and vegetables) at long distances and time loss is prevented.

Azerbaijan's accession to the world economy, along with other transport areas, also plays a crucial role in car transport. Azerbaijan's automobile roads are of great importance in the development of international economic relations, as well as in transportation of passengers and cargoes from the internal districts. This transport plays a major role in relations with neighboring Iran and Turkey. The bulk of the country's domestic cargo is transported by car transport. Baku - Gazakh, Baku - Yalama, Alat - Astara and Baku - Julfa are the main highways. They are in line with the railway lines. The capital of the Republic is combined with the center of all administrative districts through car. All these roads are solid-coated. Car transport in the highlands is an important tool. Unlike other types of transport, automobiles are the most convenient option for fast delivery to the nearest distances. According to statistical observations carried out by scientific research institutes, if the transport distance is 150-200 km, the car is more accessible than other types of transport. For example, if the cargoes are transported to this distance, the length of the load on the railroad is 1.5-2.0 days, which does not exceed 5-6 hours for carriage. The main reason for the difference in shipping time from producers to consumers is the scheme of transportation on the railroad.Carriage has the advantage of transporting fruits and vegetables relative to other types of transport, with the following factors:

• 
  Prevention or minimization of damage to fruit and vegetables. Car transport delivery fruits and vegetables directly to consumers.In this version of transport it is possible to prevent the destruction of fruit and vegetable;
  
• 
  Minimizing the length of deliveries of fruit and vegetables to consumers. On the one hand, fruits and vegetables are prevented from being damaged as it was mentioned before, on the other hand, they cause their processing facilities and their sale. These two factors lead to the acceleration of circulation of the circulars. This, in turn, is considered to be a key factor in raising the efficiency of freight turnover. It is known that each type of transport has different types and models in terms of load capacity. In this case, car transport is individually unique.
  

There are many types and models of auto-mobile transport that can carry dozens, which is not specific to other types of transport. For example, the load capacity of automobile vehicles is from 0.8 to 80 tons and more. This sign of car transport has the advantage over its transportation of cargo and passenger transport compared to other transport types. Advantages are reflected in the following areas:

• 
  allowing the movement of the moving component to maximize the load handling capability. For example, small loads (one or two containers, etc.) are relatively small compared to the capacity of a wagon;
  
• 
  fast delivery of smaller volumes to the nearest distances compared to the railroad.
  
• 
  car transport has high mobility ability. This type of transport can be transported to any location and removed from any loading location. This advantage of automobile transportation does not allow the repetition of loading and unloading operations compared to other types of transport;
  
• 
  - if one or more parts of the trunk road are damaged due to technical reasons, this does not in any way affect the continuity of the movement. However, this is not possible on the railroad, ie the movement of freight and passenger transportation is stopped. For this reason, delivery of cargo and passengers to destination is delayed;
  
• 
  It is possible to build highways between all regions of the country and their settlements. This mark is not specific to other types of transport;
  
• 
  - Car transport combines any two points with the shortest distance. That is, the relief of the territory, geographical position (mountain, water barriers, etc.) can not be prevented from building roads.
  

Carriage is accompanied by delivery of cargo to the customs authorities by carrier during cargo transportation. These are the place and date of their compilation; name and address of the merchant; carrier's name and address; where the cargo is accepted for carriage; date and place of transfer; name and address of the recipient; accepted conventional mark of cargo and packing method; the conventional sign used when dangerous goods are transported; number of cargo places; their marking marks and numbers; brutto and other expressed mass of cargo; shipping costs should be sent.A task that indicates that it is forbidden to load and disassemble it when needed; the costs incurred by the buyer; amount of additional expenses; declared price of freight; freight insurance instructions; expiry date; a list of documents submitted to the carrier; border crossing points may also be reflected.

In addition, the driver must have a completed load sheets and must be submitted when the customs authorities request it.

Pipeline transportation - products such as solutions and gas are transported (oil transportation, transportation of oil products and gas transportation, and 82% of the stone raw materials fall on oil and gas.

  The history of pipe laying transport coincides with the mid-nineteenth century as the history of the oil industry. Thus, the first oil pipeline was laid in 1865 in the United States (6 km long). Ten years later, a 100km long pipeline was built in Pennsylvania. This pipeline was incorporated by the Pittsburgh oilfields, the industrial center. Pipeline transportation in Azerbaijan started during the development of the oil industry. The first pipeline from the country The Baku oil refinery was constructed in 1888 from Balakhani Mines. The Baku - Batumi oil pipeline has been put into operation in the early 20th century. The exploitation of oil and gas fields in Absheron, the Caspian Sea, from other regions of the republic, creates new pipelines. Alibayramli - Baku, Neftchilar - Baku, Siyazan - Baku are major oil pipelines throughout the country. This gas is transported via Garadagh - Agstafa, Garadagh - Baku, Siyazan - Baku, Neftchilar - Baku, Zira - Baku gas pipelines.

Two oil pipelines have been laid for oil companies from overseas countries to send oil to the world market. It's called the Hilarious Route. The Baku-Grozny-Novorossiysk oil pipeline was commissioned in 1997. It is called the 2nd western route. The main part of the product is transported via the Baku-Supsa (Georgia) oil pipeline, put into operation in 1999. Some of the oil extracted from these oil pipelines in Kazakhstan and Turkmenistan are also sent to western countries. Baku - Ceyhan oil pipelines are expected to be used to transport oil to Turkey 's Mediterranean shores. In modern times, transmagistral pipelines are considered to be more important. Such transit lines as "Transalyaska", "Blue Stream", "Baku-Tbilisi-Ceyhan" and "Urenkoy-West Europe" can be mentioned. The length of such pipelines varies from 1 to 5 thousand kilometers. According to the length of pipelines, the world's leading places occupy the US, Russia, China and Canada.

This transport is quite different from other types of transport. Thus, the pipe lines are laid down and below the ground, and also under the water.

Pipeline also has superior and non-slip sides. The high performance of pipe transport on the superior sides,the cheapest cost of product transfers compared to other types of transport and no loss of income. The missing aspects of this type of transport include the low delivery time of the cargoes, the load on the road, and the limitation of carrying capacity. That is, transportation capacity of pipelines is limited to oil and oil products.

The Caspian Sea is of great importance for Azerbaijan, which has no direct access to the world ocean. Sea transportation is crucial in establishing contacts with countries located in the Caspian Basin. The shortest route from Central Asia to Turkey and European countries goes through the Caspian Sea. Baku is the largest port in the Caspian basin. That is why most of the cargo and passengers are transported from here. Oil, oil products, food and forest materials are transported via Baku - Makhachkala, Baku - Astrakhan, Baku - Anzali, Baku - Aktou, Baku - Manhattan sea lines. To get off the Black Sea by boat you need to go through the following waterways: Baku - Astrakhan, Volga River, Volga - Don canal, Don river, Azov Sea and Kerch Strait and Black Sea. The inland water transport can be used in the Kura and Araz rivers. The Kur River is useful for shipping up to 600 km from Yevlakh. However, these opportunities are not used. Sea transportation is of great importance in bringing oil produced in the Caspian basin to the world market through Azerbaijan. Baku is not only the largest in the republic, but also the largest port in the Caspian Sea. Therefore, all cargo and passengers are mainly transported from here. Baku-Turkmenbashi, Baku-Bekdash and Baku-Aktau ferries carry cargo and passengers. The Baku-Turkmenbashi ferry line operates since 1962. Baku-Makhachkala, Baku-Astrakhan, Baku-Anzali, Baku-Aktau and Baku-Atirau offshore routes are of great importance in maintaining relations with the Caspian littoral states of Azerbaijan. Through them, oil, oil products, food, woodworking are transported.

Water transport also has superior and shortcomings. The average cost per tonne of sea transport is lowest compared to other transport, except for pipe transport. Almost essential investment (investment) is not required for the waterway transportation and utilization of waterways. Therefore, the cost of one-tone transport of water transport (S + KEn) is very low in comparison with other transportation types. However, the development of the water transport network is limited. The reason for this is that there are no water sources in each country (sea and river). There is one more disadvantage of water transport. This is a seasonal nature of transportation in water transport. That is, termination of shipping activity as a result of water freezing at certain time of the year. However, the state funds are allocated to the maintenance of the transport of cargoes in the water transport

Communication statistics examines the operational and economic processes of postal and communication facilities, their communication networks and communication facilities (including non-telephony networks). Communication statistics in communication statistics are the scope of communication services, communication networks and means of expression in terms of value and value. Statistical supervision unit is a communication unit (organization, management, etc.) and local units of their communication services.Monitoring forms for communication statistics are as follows:

• 
  Monthly report on the volume of communication services (quarterly for small businesses);
  
• 
  Quarterly reports reflecting the development of communications facilities, postal services in the form of submissions, intercity, international postal exchanges, services of communications by types of communication in value terms;
  
• 
  Annual reports on the network of communication enterprises, international and intercity technical facilities, urban and rural telephone communications, telegraph communication, radio communication, radio and television broadcasting, television and radio broadcasts, satellite communications, contact with surface objects, length of trunk and regional communication lines.
  

As an integral part of the communication-production areas and social infrastructure, the population is represented in the country as a production and service complex, as well as individuals and legal entities in public authorities, defense, security, law enforcement, electricity and postal services. is used to meet the demand and differs depending on the nature of the information and its transmission rules.

In the recording of communication types, communication areas are divided into several sub-areas:

Postal communication is a single technological system of objects and means of transport which ensures reception, sorting, transportation, delivery to the address holder.

Electrical communication - provides reception and transmission of signals, signals, letter texts, sounds, radio and other electromagnetic systems. This subsection includes the transmission of network and facilities, telephone, telegraph, fax, and other documentary information (including exchange operations between electronic computing machines), as well as television and radio broadcasts and television images, radio and television broadcasts. Electrical communication is divided into documentary and other types of electrical communication, depending on the data transmission rules.

Telegraph communication is a type of documentary electrical communication. These types of services include transmission and delivery of telegrams, picture telegrams, determination of telegraph communication of subscribers, transmission of information and newspaper images.

Telephone communication is the implementation of various inter-station telephone conversations and data exchange through telephone channels.

Broadcasting, radio and television broadcasts are the broadcasting of radio and television programs, broadcasting of digital data, telephone and telegraph data on radio channels.

Transmission of data is the transmission of data in the computing means using the types of electromagnetic fields, or in the form of double signals for subsequent processing.

Transmission of data in command packages is carried out using special communication networks when receiving, commutation, transmission of information (data) as packet data using the types of electromagnetic communication.

E-mail is the intermediate "electronic mailboxes" of the electromagnetic channels for high speed data transfer, incorporation into computing techniques, preparation and regulation of special communication means.

Telefax is a documentary type of telecommunication and has been set up to create the latest inter-facsimile facsimile communication with automatic commutation of the public telephony network.

 Bureaux is a common type of documentary telecommunication, used to communicate with the fax office by means of automatic commutation of the public telephone network.

Cellular telephone communication is a wireless mobile radio communication system. The essence of this system is the ability to connect to any automatic telephone stations and any other subscriber through the airline of all subscribers in a certain area where the receiving and transmitting station is installed.

Internet Connection - Global exchange of global networks for Internet protocols (IP) and information security.

Communication enterprise - regardless of the form of ownership, the main activity is considered as legal and physical persons rendering electric and postal communication services.

The volume of communication services is collected based on the quarterly official statistical report numbered "Communication Services" 65th communication.

Communication services are grouped as follows:

communication communication

- electric power transmission

-feldyeger and special communication

- inter-city and international telephony

-Churma (telephone) communication

-kand telephone communication

-Radio communication, radio and television broadcasting and satellite communications

-National voice broadcast communication

- allocation, registration, exploitation and control of radionuclides

- mobile telephone communication

- Internet communication

- other communication services provided by the legislation

The volume of the rendered communication services is the total volume of revenues generated from the main activity of the communication enterprise. It includes postal, telegraphic and special communication, documentary electrical communication, long-distance and international telephony, urban telephony, rural telephony, radio communication, radio and television broadcasting and satellite communications, radio broadcasting, radio frequency distributions, registration, exploitation and mobile telephony, Internet services, ISDN services, ADSL and HDSL services, DATA services, wireless local telephone communications services, and other communications services. This indicator includes management, enterprise and organizations, as well as the amount of money earned by the communication enterprise in exchange for communication services provided to the population. In accordance with the requirements of the National Accounts System, as in other economic fields, the communication services shall be determined in accordance with the circumstances at the time of its establishment, regardless of whether the funds received from the sale of goods and services are entered into the enterprise's settlement account. That is not the amount of actual income earned when calculating this indicator, but the amount calculated for the services rendered during the reporting period is taken as the basis.