As a preliminary step to set up a “Gas Opec” out of the Gas Exporting Countries Forum, Russia is planning to create an organisation on the similar pattern within the Commonwealth of Independent States (CIS).

With an aim to form a world “Gas Opec”, Russia will present a charter for the International Association of National Non-governmental Gas Organization (IANGGO) during the meeting of the commission of the Eurasian Economic Community in St Petersburg in early April.

Although Russia has not yet officially approved the “Gas Opec” idea, which was originally proposed by Iran, the move is expected to strengthen its position within the future gas cartel.

Vice-President of the Russian Gas Society Oleg Zhilin said the gas cartel would be based in Russia, since it has the largest natural gas reserves and most extensive transport network.

The organisation will be governed by a Moscow-based secretariat headed by a general secretary appointed to a three-year term, Zhilin said.

The purpose of the new organisation, as described in the charter, is “the creation of conditions for the fair distribution of income from gas exports among producing and transporting countries and the formation of common investment sources for the development of the natural gas sector, including maintenance of the existing system of gas trunk lines in the IANGGO member-states” and “development of recommendations for harmonisation of the legislation of IANGGO member-states in the areas of exploration, production, processing, transportation, etc”.

The organisation can be founded with two or three member-states. Former Soviet republics of Kazakhstan and Tajikistan have agreed to discuss the charter and Belarus is examining it.

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