Norway is to provide Azerbaijan with funding worth US$1.5M to develop small hydroelectric power plants in the country.

According to the Interfax news agency, the funding will be provided following the signing of an agreement between Azeri officials and officials from the United Nations Development Programme (UNDP) in Baku in mid-January.

The funding will primarily be used to help support the establishment of legislation encouraging hydroelectric power development in Azerbaijan, as well as the implementation of one or two pilot projects.