US terms OPEC+ decision on oil production mistake', says it has favoured Russia
Washington (PTI): The move of the OPEC and its allies to cut oil production is a "mistake" and a "short-sighted" decision that has favoured the Russians and the US is going to re-evaluate its ties with Saudi Arabia, the White House has said.
Members of the Organisation of the Petroleum Exporting Countries (OPEC) and their Russia-led allies earlier this month agreed on a major cut in oil production, amidst a downward trend in prices.
The 13-nation OPEC cartel and its 10 Russian-led allies agreed to reduce two million barrels per day from November at a meeting in Vienna. It is the biggest cut since the height of the COVID-19 pandemic in 2020.
The decisions that OPEC+ made last week, we believe, sided with the Russians and were against the interests of the American people and the families around the world, White House Press Secretary Karine Jean-Pierre told reporters at her daily news conference on Tuesday.
We believe that the decision is going to hurt and harm lower-income economies. It was misguided and it was a mistake and a short-sighted decision, she said in response to a question.
The White House press secretary said President Joe Biden is going to re-evaluate his relationship with Saudi Arabia, a leading oil producer.
This is something that he has talked about since the beginning of this administration. He wants to do it in a bipartisan way, which is the way it has been done for the last eight decades when we talk about our relationship with Saudi Arabia, she said.
So, he is going to do this in a methodical way, in a strategic way, and he is going to certainly get inputs from members of both parties, the press secretary said, adding that more information on this would be shared later.
On October 5, the OPEC+ alliance announced a cut in oil production an amount that could drive oil and gas prices back up after weeks of a downward trend.
The meeting of the 24 OPEC+ oil-producing countries, including Russia, comes at a time when much of the world is already battling soaring energy costs. A supply cut will also exacerbate tensions between Saudi Arabia and the US, the National Public Radio (NPR) reported.
OPEC+, formed in 2016, includes the 13 Organisation of Petroleum Exporting Countries members and 11 other non-OPEC members.
In a statement, the group justified the decision due to "uncertainty that surrounds the global economy and oil market outlook."
The world consumes up to 100 million barrels of oil a day, so taking 2 million off the market would have a noticeable effect, the report added.
A dramatic cut in oil production could also help Russia, which is co-chair of OPEC+. Its economy is based on energy revenues, now critical to its war effort in Ukraine. Despite sanctions, Russia hasn't experienced a huge decline in production, the report said.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
Social media campaigns, flexboards won't decide who will be Kerala CM: Chennithala
New Delhi/Thiruvananthapuram (PTI): Senior Congress leader Ramesh Chennithala, a CM hopeful, on Wednesday said that social media campaigns and putting up of flexboards wiill not be the deciding factors for selecting the chief minister of Kerala.
Chennithala made the remark in response to reporters queries in Delhi on the intense social media campaign in favour of V D Satheesan as CM on the ground that he led the UDF poll campaign from the front.
"Who should be CM is not decided based on social media campaigns or the flexboards put up by the supporters. It is decided by the high command in accordance with the procedure already in place.
"As part of that two party observers will reach Kerala by evening and they will speak to all the MLAs. After that, the party high command will take a decision," the senior Congress leader said.
He said that the high command will take the decision based on party interests and everyone will accept it.
Chennithala also rejected queries about whether the alleged contest within the party for the CM post will create any displeasure among the voters.
"There will be no displeasure among voters as there is no contest," he contended.
On whether there was a delay in announcing the CM for Kerala, Chennithala said that the chief minister has not been selected in the other state where polls were held.
"So, can it be said that there is a delay in the case of Kerala?" he asked.
He said that he was in Delhi for a meeting with Rahul Gandhi regarding finalisation of the DCC presidents in Maharashtra.
