OPEC

OPEC, an acronym for “Organization of the Petroleum Exporting Countries” is an inter-governmental venture created in September, 1960 at Baghdad Conference by signing of an agreement between five founder countries (Iraq, Iran, Kuwait, Saudi Arabia and Venezuela) initially. Later, OPEC was joined by Qatar in 1961, Indonesia & Libya in 1962, United Arab Emirates in 1967, Algeria in 1969, Nigeria in 1971, Ecuador in 1973, Gabon in 1975 and Angola in 2007; hence, currently the organization has a total of 13 member countries. OPEC is headquartered in Vienna, Austria since its inception.

OPEC is aimed towards coordinating and unifying the petroleum policies of its member countries so as to ensure stabilization of oil markets in order to provide an efficient, economic and uninterrupted supply to the consumers whilst ensuring a steady income to the producers and investors.

OPEC carries out its functions in accordance with the OPEC statute (latest version published in 2012). According to this statute, the organization has three organs i.e. the Conference, the Board of Governors and the Secretariat. The conference has the supreme authority of organization. While the Board of Governors is composed of Governor nominated by Member countries and confirmed by the conference and the Secretariat carries out the executive functions of the organization.