Oil consumers, producers step up cooperation

09:06, April 02, 2010      

Email | Print | Subscribe | Comments | Forum 

World energy producers and consumers pledged greater cooperation Wednesday and called for transparent markets to tackle oil price volatility, seen as damaging to economic growth.

"With regard to energy market volatility, energy markets should be as transparent as possible," the International Energy Forum (IEF) said in a joint declaration issued at the end of a two-day meeting in Mexico.

It also agreed to strengthen dialogue between leading oil producers, such as Saudi Arabia and Russia, and key consumers including the United States and China, in a bid to eliminate the risk of excessive price swings.

The declaration signed by 66 countries also proposed creating an IEF Charter aimed at improving the forum's own transparency and dialogue and ultimately its influence on the world stage.

"The Cancun Declaration ... confirms the political and financial commitment of IEF countries to an enhanced energy dialogue and outlines the path of a stronger institution," the forum said in a statement, and added that ministers would meet again by March, 2011 in Riyadh, to approve the charter.

Oil prices surged to all-time peaks of above $147 a barrel in July 2008, before the severe global economic downturn saw them crashing to just $32.

Oil soared above $84 Thursday to strike fresh 17-month highs in thin pre-holiday trade, driven by buoyant manufacturing data in China and the eurozone, analysts said.

The Organization of the Petroleum Exporting Countries - whose member nations together pump about 40 percent of the world's oil - blames speculators for pushing crude futures to record highs nearly two years ago.

British junior energy minister Philip Hunt said that oil price volatility had "very negative consequences for the world."

"We need stable and efficient energy markets. We need them both in terms of ensuring future investment and development," said Hunt. "But we also need them in helping the globe as a whole recover from the financial problems that we've seen in the last two years. That's why I believe this declaration is so important."

The IEF has also used this week's gathering to mull the outlook for renewable energy sources such as biofuels.

Source: Global Times


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Members of civil organizations who oppose laws that allow voluntary abortion, participate in a protest in front of the Supreme Court in Mexico City, capital of Mexico, on Sept. 26, 2011. The Supreme Court began on Monday a debate on a constitutional reform in the states of Baja California and San Luis Potosi, which establish the beginning of the right to life during conception, contradicting the federal constitution. (Xinhua/Claudio Cruz)
  • Actors perform during the opening ceremony of the China Today Art Week in Malmo, Sweden, Sept. 26, 2011. (Xinhua/Liu Yinan)
  • ATP top 1 and UNICEF National Ambassador for Serbia Novak Djokovic plays with children at kindergarten "Brownie" in Smederevo, central Serbia, on Sept. 26, 2011. The kindergarten is specialized for children with disabilities and refugees. Djokovic was appointed as a UNICEF National Ambassador for Serbia last August. (Xinhua/Vladimir Gogic)
  • Photo taken on Sept. 26, 2011 shows the Shundang Caifeng Bridge in Yunlong County of Dali Bai Autonomous Prefecture, southwest China's Yunnan Province. The Shundang Caifeng bridge, a wooden cantilever bridge of almost 400 years, is still used for transportation and tourism. Across the rivers of Dali Bai Autonomous Prefecture stand many bridges with antique flavour, attracting a lot of tourists. (Xinhua/Chen Haining)
  • Photo taken on Sept. 26, 2011 shows the exterior view of the Mali Hospital in Bamako, Mali. The Mali Hospital, built with Chinese aid, officially opened on Monday. (Xinhua/Wang Zizheng)
  • Participants have a group photo taken at the World Media Summit Presidium Meeting in Beijing, capital of China, Sept. 27, 2011. Leaders or representatives of 11 world mainstream media attended the meeting opening on Tuesday. (Xinhua/Li Tao)
Hot Forum Discussion