The Baku horsecar tramway was built to 1,524 mm (5 ft) gauge.

By the start of the 20th century, the horsecars were already unable to cope with growing volumes of passenger traffic in the oil industry centre of the Russian Empire.

In 1903, the City Council received a proposal for the construction of a Baku electric tramway.

For the next 20 years, the city bureaucracy created numerous commissions, and developed projects and budgets, until 1922, when the Council began planning the construction of an electric tramway network.

[3] In February 2012, the government of Azerbaijan announced that it is planning to restore the tramway in Baku after dismantling it only eight years before.