Suhail Mohammad Faraj Al Mazroui, UAE Minister of Energy and Industry Image Credit: Gulf News Archives

Abu Dhabi: Opec (Organisation of the Petroleum Exporting Countries) and its members “don’t control” oil prices and that the market “dictates” them, according to Suhail Mohammad Faraj Al Mazroui, Minister of Energy and Industry.

“What Opec strives to achieve is a balanced oil market that is fair for both consumers and producers, and encourages the many trillions of dollars of investment that is needed to secure future production,” he said in an opinion piece written to mark the end of his tenure as President of Opec.

Highlighting the organisation’s achievements during 2018, the energy minister said one of the most notable achievements was the progress made in developing a charter between Opec and its non-Opec partners to continue collaborating in the years ahead.

He noted that this landmark pact was initiated in December at the 175th Opec Conference and is an important step in a relationship that will continue to evolve and flourish into the future.

He also stated that the UAE has been a proud member of Opec for over 50 years, and that by working with like-minded partners, both within and outside of the Opec organisation, the goal of a more stable, less volatile oil market can be pursued.

Reflecting back to December 2016 when Opec and its partners signed the ‘Declaration of Cooperation’ — a voluntary agreement to adjust production levels and thereby remove excess inventory overhang — Al Mazroui said the organisation’s goal was to deliver lasting and sustainable stability to the oil market in the interest of both producers and consumers.

“Fast forward to mid-2018 and inventory overhang had been reduced, Opec and its partners were complying well above their committed targets, and there was a sense of optimism in our industry again,” he said.

— With inputs from WAM