Starting October 1, legal entities and individual entrepreneurs wishing to provide passenger and cargo road transport services will operate under the relevant permits according to the Law of the Republic of Azerbaijan "On road transport" and "On licenses and permits". Permits shall be issued by the Azerbaijan Land Transport Agency and shall be valid for 7 years. The law aims to protect the legitimate interests of the consumers of passenger and cargo road transport services, prevent unfair competition and monopolies in this sector, and ensure transportation, environmental, and occupational safety.
The law mandates that permits shall be issued free of charge to entities engaged in chartered domestic transportation, meaning non-scheduled passenger transportation and cargo transportation.
Those who wish to provide passenger transport services using taxi cars shall pay a government fee of 125 AZN to obtain a license. Legal entities or individual entrepreneurs who have obtained a license shall also get a license card in addition to a vehicle permit. The government fee for this is 25 AZN.
For road transportation between the Republic of Azerbaijan and other countries, operators shall have a permit and a license card for international cargo and non-scheduled passenger transportation. A license card for this activity shall be issued upon payment of the government fee of 250 AZN plus 75 AZN for the card.
The Law "On road transport" stipulates that ride hailing companies shall also operate in the country under a permit. The government fee for this type of permit is 3,000 AZN.
To obtain these permits, legal entities and individual entrepreneurs shall submit the documents specified in Article 14 of the Law "On road transport" to the Azerbaijan Land Transport Agency.
Failure to comply with the road transport laws shall result in administrative liability and fines imposed on those who fail to comply. Executive officers shall be fined 200 AZN and legal entities 1,000 AZN for providing passenger transport services using passenger taxi cars without a license. Repeated violations within one year after the administrative penalty order comes into effect shall result in a fine of 400 AZN for executive officers and 2,000 AZN for legal entities.
Providing passenger transport services using passenger taxi cars without a license card shall result in a fine of 50 AZN. Repeated violations within one year after the administrative penalty order comes into effect shall result in a fine of 80 AZN.
Executive officers shall be fined 300 AZN and legal entities 1,200 AZN for providing cargo and non-scheduled passenger transportation services without a permit, i.e., a license card. Repeated violations within one year after the administrative penalty order comes into effect shall result in a fine of 600 AZN for executive officers and 2,400 AZN for legal entities.
A fine of 50 AZN shall be imposed for the transportation of goods and unauthorized passengers without an exemption card. Repeated violations within one year after the administrative penalty order comes into effect shall result in a fine of 100 AZN.
Under the Code of Administrative Offenses, ride hailing companies shall be fined for failure to register personal data in information systems and comply with personal data protection requirements in accordance with the Law of the Republic of Azerbaijan "On personal data". Executive officers who have failed to do so shall be fined 5,000 AZN while legal entities shall be fined 20,000 AZN. Under the Law of the Republic of Azerbaijan "On road transport", executive officers shall be fined 5,000 AZN and legal entities 20,000 AZN for failure to create or use a mechanism that ensures real-time transfer of information about ride requests and drivers' work and rest regime contained in ride hailing companies' information systems to the information system of an agency appointed by the relevant executive authority.
18-08-2023