Oil Prices Declining, Azerbaijan Ready to Reduce Production by OPEC+ Decision

On Thursday, November 21, a day before the official conclusion of COP29 (although it may be extended until November 24), participants of the UN climate summit, chaired by Azerbaijan, held discussions within the framework of the “Kurultai” initiative about two proposed texts for the "New Collective Quantified Goal" on climate financing (NCQG), according to ASTNA.

On November 7, 2024, a decree by the President of the Republic of Azerbaijan led to the creation of a new transport and communications holding company, AZCON. The President explained this decision as a necessity for a "flexible management system that meets modern requirements to improve the operations of state enterprises in the transport and communications sector, enhance their economic efficiency, and increase contributions to the state budget."

Azerbaijan relies heavily on traditional oil and gas production, exporting these resources primarily westward to markets in Georgia, Turkey, the Balkan states, and European Union member countries via pipeline infrastructure. Despite steady growth in natural gas output, with a significant increase of 19.7 billion cubic meters from 2010 to 2023, fossil fuel export revenues have declined annually due to price volatility and external economic pressures.

Azerbaijan plans to present its third document on its Nationally Determined Contribution (NDC 3.0) to reduce greenhouse gas emissions at the 29th Session of the Conference of the Parties to the United Nations Framework Convention on Climate Change. The goal is to help achieve the global target of limiting temperature rise to 1.5 degrees Celsius and adapting to the consequences of climate change.