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Azerbaijan`s energy minister highlights balancing of oil market and development of green energy at Russian Energy Week


Azerbaijan`s Minister of Energy Parviz Shahbazov has participated in the “New Challenges, New Opportunities: What’s in Store for the Oil and Gas Market?” Plenary Session at the Russian Energy Week International Forum. The minister shared his views on the balancing of the global oil market and the development of green energy in the new realities.

The minister said that OPEC plus cannot completely eliminate the effects of all numerous, including geopolitical factors on the oil market. However, adequate decisions on forecasts for the development of oil demand provide continuous support for the balancing of supply and demand. The latest decision of OPEC plus also aims at preventing market imbalances, and since the production lags behind the quotas, the actual decrease is approximately 1 million barrels in accordance with the forecast for supply surplus. Drawing attention to the importance of investments for balancing the oil market, the minister said that investment attraction is necessary to prevent oil shortages and price volatility in the future.

He also noted that hydrocarbons will retain their importance in the changing energy architecture, but the global oil and gas outlook will most likely be different.

The minister of energy also spoke about the development of green energy in the current situation. Emphasizing that political and investment support is currently being provided to this type of energy, the minister noted that the commissioning of 257 GW of new renewable energy capacities was put into use in the world last year, and 365 billion dollars were invested in this field as facts confirming the development of green energy. It was noted that today no one is able to easily realize their goals related to green energy. Thus, the lack of rational management of the energy transition process resulted in problems in the energy supply. “Today, the countries that have no problems with energy security are successfully implementing the course of green energy. Azerbaijan is one of the few countries. At present, wind and solar power generation capacities with a total capacity of 4,700 MW are being created with international energy companies. We also have plans for 6 GW projects in the near future.”

Deputy Prime Minister of the Russian Federation Alexander Novak, Minister of Energy and Natural Resources of Turkiye Fatih Donmez, Minister of Energy of Kazakhstan Bolat Akchulakov and Deputy Chairman of the Board of Directors of Gazprom Alexey Miller participated in the panel.

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