Algeria has repeated calls by Opec hawks for an emergency meeting over falling oil prices as sanctions on Iranian crude came into full force.
In the days leading up to a European embargo that took effect on Sunday, Iran and Venezuela said the organisation could meet in the third quarter to address oil prices, which dipped below US$90 a barrel for North Sea Brent crude last month.
Iran has since written to Abdul Kareem Al Luaibi, the current president of Opec, to request an emergency meeting, Mohammad Ali Khatibi, the Iranian Opec governor, told Bloomberg yesterday.
Although prices have regained strength thanks to a euro-zone agreement that has buoyed hopes for a resolution to the debt crisis, Brent dipped 1.2 per cent yesterday to $95.76 a barrel.
"If the deterioration of the oil market reaches a certain point, the group will be holding an extraordinary meeting to study ways and means to correct this imbalance," Youcef Yousfi, the Algerian oil minister, was quoted as saying by APS, Algeria's official news agency. "There are currently 2 million barrels per day [bpd] extra oil on the market from a year ago."
Opec's price hawks, which spar with Saudi Arabia and other Arabian Gulf nations that hold spare production capacity, fault the kingdom for pumping above the group's 30 million bpd quota and pushing down prices. At the group's output meeting last month, Opec opted to leave the quota unchanged.
But analysts expect Saudi Arabia, which holds most of Opec's 2 million bpd spare production capacity, to lower its pumping levels soon.
"With the current falls in outright prices and growing evidence of global stock builds, we expect the kingdom will begin to scale back output," wrote JBC Energy in Vienna in a research note.
The European Union embargo, aimed at pressuring Iran to give up its disputed nuclear programme, has already eliminated 1 million bpd of Iranian supplies from the market, according to the International Energy Agency.
The shortfall and concerns over reactions from Iran, which has threatened to close the Strait of Hormuz, could push prices back up.
"With the Iranian economy in a chokehold, Iranian politicians are likely to get increasingly desperate," wrote Jason Schenker, the president of the consultancy Prestige Economics in Austin, Texas.
"At this point, Iran is likely do its best to force a stalemate, and the hotter the rhetoric and posturing gets, the more crude oil prices will be pushed higher."
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Your rights as an employee
The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.
The new measures passed by the Cabinet in 2016 were an update to the Wage Protection System, which is in place to track whether a company pays its employees on time or not.
If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.
Despite those measures, late payments remain an issue, particularly in the construction sector. Smaller contractors, such as electrical, plumbing and fit-out businesses, often blame the bigger companies that hire them for wages being late.
The authorities have urged employees to report their companies at the labour ministry or Tawafuq service centres — there are 15 in Abu Dhabi.
Herc's Adventures
Developer: Big Ape Productions
Publisher: LucasArts
Console: PlayStation 1 & 5, Sega Saturn
Rating: 4/5
Who has been sanctioned?
Daniella Weiss and Nachala
Described as 'the grandmother of the settler movement', she has encouraged the expansion of settlements for decades. The 79 year old leads radical settler movement Nachala, whose aim is for Israel to annex Gaza and the occupied West Bank, where it helps settlers built outposts.
Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.
Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.
Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.
Visit Abu Dhabi culinary team's top Emirati restaurants in Abu Dhabi
Yadoo’s House Restaurant & Cafe
For the karak and Yoodo's house platter with includes eggs, balaleet, khamir and chebab bread.
Golden Dallah
For the cappuccino, luqaimat and aseeda.
Al Mrzab Restaurant
For the shrimp murabian and Kuwaiti options including Kuwaiti machboos with kebab and spicy sauce.
Al Derwaza
For the fish hubul, regag bread, biryani and special seafood soup.
