The following is a copy of the correspondence:
HE Suhail Mohamed Al Mazrouei
Minister of Energy & Industry and the
President of the Conference
United Arab Emirates
While acknowledging the receipt of Your
Excellency’s letter dated 1st of August 2018, I would like to express my
appreciation to you for your efforts made in implementation of the OPEC
It is beyond any doubt that OPEC efforts in
maintaining market stability and pursuing its objectives as expressed in its
Statute and the decision adopted at the 171st Meeting of the OPEC Conference,
as well as resolution No. 174:513 are very important and all OPEC Member
Countries should exercise their utmost endeavor to implement these decisions.
In this regard, I found it compelling to draw Your Excellency’s attention to monitoring
fault by JMMC in the implementation of decision taken at 171st Meeting of the
OPEC Conference, as well as resolution No.174:513.
As mentioned in my previous correspondence,
correct interpretation of the decisions taken at the 174th Meeting of the OPEC
Conference is essential for proper monitoring of their implementation. The
decision adopted by the First Extraordinary Meeting of the JMMC and its
notification to the JTC on 18 July 2018 has confirmed my concerns over
misinterpretation of the OPEC Conference decisions by the JMMC. According to
the report of the aforesaid meeting, the JMMC has asked the JTC to monitor the
implementation of the decision made at the 4th OPEC-non-OPEC Ministerial
Meeting, but nothing has been mentioned about monitoring the implementation of
the decision made at the 174th Meeting of the OPEC Conference.
I would like to add that, I. R. Iran participated
at the 18th JTC without any voting right, and to our dismay we witnessed that
some members attempted to redistribute over-conformity in production adjustment
level among themselves, and attempts to hand over OPEC countries’
over-conformity to non-OPEC countries. This very procedure is totally in
contradiction with the monitoring task of both JMMC and JTC, and indicates
misinterpretation by the JMMC over its mandate, as well as disregard for the
decision of the 174th Meeting of the OPEC Conference.
Therefore, given all the above-mentioned points,
Your Excellency is kindly requested to ensure the following:
The JMMC is obliged to monitor the implementation
of the decision of the 174th Meeting of the OPEC Conference. This monitoring
should be done as stipulated in the text of 174th Meeting of the Conference
decision and as explained in my previous letter, the report should be provided
continually to Member Countries.
The JMMC is required to refrain from making any
attempts to redistribute the over-conformity, including, among OPEC Member
Countries, or, between OPEC and non-OPEC Countries as this is beyond the
mandate of JMMC and it contradicts the decision made at the 171st Meeting of
the OPEC Conference, and resolution No. 174:513.
In case the JMMC does not fulfill its mandate as
stipulated in the decision of the 174th Meeting of the OPEC Conference, and has
a different understanding from the decision of the above-mentioned Conference,
the issue should be raised at an Extraordinary Meeting of the OPEC Conference
for decision making.
In conclusion, it would be highly appreciated if
Your Excellency could instruct the OPEC Secretariat to circulate the present
letter to Their Excellencies Heads of delegation of the OPEC Member Countries.
Please accept, Excellency, the assurances of my
highest consideration and respect.
Cc: HE Mohammad S. Barkindo, OPEC Secretary