Restructuring of ‘OAPEC’ and renaming it as ‘AEO’ (Arab Energy Organization)

The member states of the Organization of Arab Petroleum Exporting Countries (OAPEC) signed, during the 113th ministerial meeting held yesterday in Kuwait, a decision to restructure the organization, redraft its establishment agreement, develop its work, and change its name to the Arab Energy Organization (AEO).

Furthermore, during the opening of the meeting, Eng. Saad Al-Kaabi, Qatari Minister of State for Energy Affairs, Managing Director, and CEO of Qatar Energy, and Chairman of the current session of the OAPEC Council of Ministers, expressed his hope that the meeting would result in the best decisions to support the organization’s work and achieve the desired goals.

Following the conclusion of the meeting, the Secretary-General of the organization, Eng. Jamal Al-Loughani, stated that the meeting was attended by 9 ministers, chaired by Qatari Minister of Energy Eng. Saad Al-Kaabi.

It also included the participation of the Minister of Energy in the Kingdom of Saudi Arabia, His Royal Highness Prince Abdulaziz bin Salman, the Kuwaiti Minister of Oil Tariq Al-Roumi, and the Egyptian Minister of Petroleum and Mineral Resources, Eng. Karim Badawi.

Al-Loughani explained that the meeting was important and historic for the organization as it involved discussions on restructuring, re-examining its objectives, and amending some of its legal documents. This process followed an extensive study over the past year and a recommendation submitted by the organization’s Executive Office to the Council of Ministers.

Moreover, Al-Loughani continued by saying, that a recommendation was approved and a decision was issued by the Council of Ministers for initial approval to amend some articles of the founding agreement, with the condition that these amendments be referred to the governments of the member states for official approval by the higher authorities.

As a principle or idea, there is now a green light to proceed with the restructuring process and review the organization’s objectives so that it encompasses all types of energy.

The name of OAPEC will be changed to the Arab Energy Organization (AEO), reflecting that objectives and interests now encompass all types of energy.

Al-Loughani congratulated all member states on this achievement, and it is the responsibility of member states to complete the second part of the restructuring study, implement all the initiatives developed by the global consultant, and fully complete the process of developing the organization.

Importantly, Al-Loughani pointed out that this meeting was dedicated to discussing a number of items on the agenda, with the most important being the approval and adoption of the budget of the General Secretariat of the Organization for the year 2025, the item related to the final report of the first phase concerning the development of the organization’s work, and the proposed amendments to its statute.

A significant amount of time was allocated for discussion. After lengthy deliberations, the decision was made to adopt the first phase of the project and to begin work on its second phase.

Al-Loughani pointed out that during the meeting, the item related to following up on the activation of the Cabinet decision regarding the Green Middle East Initiative and adopting the application of the concept of the circular carbon economy was discussed.

Additionally, the winners of the OAPEC Scientific Research Award were honored during the meeting, and the Executive Office’s recommendation to increase the value of the award starting from the 2024 edition was approved.

Al-Loughani stated that the briefing reports on the activities of the General Secretariat were reviewed, covering various topics including the monitoring of the petroleum situation, developments in liquefied natural gas and hydrogen, economic and technical studies prepared by the organization, follow-up on environmental affairs and climate change, progress reports on the data bank, and the events organized and participated in by the General Secretariat, among other items.

Continue Development Efforts

In the same context, a statement issued by the General Secretariat of the Organization noted that the decision to restructure the organization and redraft its establishment agreement allows the General Secretariat to continue its efforts in developing the organization’s activities and operations.

This followed the approval of the first phase of the project, which included the proposed amendments to the organization’s establishment agreement.

It was noted that the proposed substantive amendments to the agreement will come into effect upon completion of the approval process according to the regulatory procedures of each member state.

The Secretariat explained that the decision to restructure the organization, redraft its establishment agreement, develop its work, and change its name was based on a proposal submitted by Saudi Arabia.

Importantly, the Secretariat indicated that implementing the decision required conducting a thorough study and comprehensive assessment of the developments and challenges faced by the energy sector at the national, regional, and global levels, particularly in recent years.

The rapid transformations in the energy sector necessitated a review and development of the organization’s activities and objectives to encompass all areas related to and included in the energy sector.

Source: Al Anba