Azerbaijan

POINT PAPER 01 July 2011 SUBJECT: Assessment of the Caucasus Region 1. ISSUE. Provide the USEUCOM Commander an overview of Azerbaijan’s approach to the situation in the Caucasus Region. 2. Facts. a. Azerbaijan’s primary national interests in regards to the Caucasus Region are security and economy. The development of strong, secure and democratic nations within the Caucasus Region is strategically important to European and United States interests. Azerbaijan has moved to align with Western States and joined NATO actions within the region. The Baku-Tbilisi-Ceyhan (BTC) pipeline has strengthened Azerbaijan’s economic position within the region and status with the European community. Azerbaijan has joined the West in the war on terror and is an important part within the Caucasus Region for the movement of troops and supplies into the operational theater by granting over flight rights. b. Objective(s) in pursuit of the primary national interests: 1) Azerbaijan will maintain its independence and reduction of civil internal turmoil in the Nagorno-Karabakh region through alliances with the European Union and the United States as well as stronger border security. 2) Security of the BTC pipeline will provide regional energy independence from Russia and economic stability to the nation. c. Azerbaijan’s most likely actions: 3) Diplomatic: A neutral foreign policy in which Azerbaijan will seek to maintain relations within the region that will allow the country to prevent undue influence on its citizenry. A former Soviet satellite and a Muslim country, Azerbaijan has retained foreign relations with Russia and Iran yet sought close alliance with Europe and the United States. 4) Informational: Azerbaijan must maintain transparency within its government. In a nation with a high literacy rate it is important for media coverage to maintain a positive view of internal actions; especially within the Nagorno-Karabakh. 5) Military: Azerbaijan has committed troops to both OEF and OIF in support of NATO operations. Military operations to stop the secular violence in the Nagorno-Karabakh would not benefit the nation. A strong military is important for securing the nation’s borders and can be used for diplomatic negotiations when not used to suppress internal, secular disagreements. 6) Economic: Azerbaijan has important oil reserves and a significant agricultural base. The completion of the Baku-Tbilisi-Ceyhan pipeline and parallel gas pipeline financially aides Azerbaijan as well as aides the Caucasus Region with energy independence from Russian oil companies. d. Top three U.S. programs that would benefit Azerbaijan: 7) Security Assistance: Military sales and training to help equip and build a military force capable of securing the interests of the nation. Security assistance will enhance Azerbaijan’s ability to contribute in international counter-terrorism, counter-narcotics and peacekeeping missions. 8) USAID and the U.S. Department of Agriculture can assist develop agriculture sectors. Much of the cultivatable land is contaminated with DDT and Azerbaijan will benefit from an agriculture boom when the soil is cleared of contamination. Economically, the sturgeon population in the Caspian Sea is important to Azerbaijan for caviar sales. The country has seen a decline in the sturgeon population and the U.S. Department of Agriculture and USAID could also provide training in fish management. 9) USAID provides Azerbaijan with technical assistance to combat terrorist funding and money laundering. Promoting legislative reforms to reduce barriers to trade will help advance the country’s bid to join the World Trade Organization. 3. IMPACT: Azerbaijan provides assistance to USEUCOM in the war on terror through over flight privileges and personnel support. Due to geographic location, maintaining Azerbaijan’s internal economic and humanitarian stability is important. Oil a gas reserves in the region and the maintenance of the BTC pipeline not only benefits the region economically but helps support energy independence in the Caucasus Region. Once the oil has reached Turkey, the oil benefits U.S. European allies. Coord: None