All About The Organization Of The Petroleum Exporting Countries (OPEC)

Hello Readers,
      Here we come up with another article. Because we don’t want you to miss any important topic which is related to our self not only in terms of exams but as a human being. So here we go –
The Organization of the Petroleum Exporting Countries (OPEC) is an intergovernmental organization of oil-exporting developing nations that coordinates and unifies the petroleum policies of its Member Countries. It was founded in Baghdad, Iraq with the signing of an agreement in 1960 by five countries and headquartered in Vienna, Austria since 1965. Earlier, OPEC had its headquarters in Geneva, Switzerland for the first five years of its existence.

Those five countries namely- Iran, Iraq, Kuwait, Saudi Arabia and Venezuela became the founding member of OPEC. Currently, the organisation has 13 members, namely: Algeria, Angola, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates and Venezuela. Two member of OPEC, Ecuador and Gabon terminated its membership in 1995. Indonesia suspended its membership in January 2009, but this was reactivated from 1st January 2016.

Key Functions of OPEC are :

  • Coordination of oil production policies
  • Price and market stabilisation
  • Maintaining stability in oil production
  • Apart from this, OPEC members hold quarterly meetings to discuss global demand outlook and supply strategies. 
Structure of OPEC:
OPEC operates through its Conference, Board of Governors, Economic Commission Board and Secretariat. The supreme authority of the organization is the conference, consisting of the representatives (generally oil ministers) of all the member countries each with one vote.

It meets twice a year to formulate policy, approve the budget and consider the recommendations of the Board of Governors. All decisions are adopted unanimously. The resolutions of the conference become effective 30 days after the conclusion of the meeting at which they are adopted, unless one or more members submit their opposition to the resolution to the secretariat.

Recent News of OPEC : 
The twelfth meeting of the energy dialogue between the European Union (EU) and the Organization of the Petroleum Exporting Countries (OPEC) took place in Vienna, Austria on 21st of March, 2016. 


Download success!

Thanks for downloading the guide. For similar guides, free study material, quizzes, videos and job alerts you can download the Adda247 app from play store.


Leave a comment

Your email address will not be published. Required fields are marked *