Author Topic: A Clysperi Proposal To OPEN - A Fair Price For Oil  (Read 2221 times)

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Offline Beatrice

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A Clysperi Proposal To OPEN - A Fair Price For Oil
« on: April 21, 2020, 06:54:31 AM »

Fellow members,

Petroleum is the lifeblood of the global economic system fueling everything from normal economic activity to military vehicles and vessels. Given the vast energy needs of the world around us, especially as economies continually develop and demand ever increasing amounts of energy as their citizens drive and, in some cases, their commanders dispatch their navies to every brush fire that may crop up, we should not be maintaining prices at a value which best serves nations which aren't often friendly with ours. Such a course essentially subsidizes overseas military ventures and the very economies which see no issue with imposing some of the strictest sanctions regimes in history against the Tamoran Empire. Establishing a base price for oil which sees our nations reap a greater benefit for our resources and the labour which goes into their production is both fair and pragmatic.

For some time now these prices have been stable at around $40 per barrel, however, following discussions with my advisers we feel that a fair price per barrel should be at least $70. Also, at this price we may begin to see funds restored to those utilized to provide for the stipend to Clysperi citizens while also providing additional revenue which will assist in the reconstruction efforts in the Kingdom. This fairer price will also benefit every member of OPEN. Lower prices serve the interests only of the richest nations of Mundus. We extract it, we ship it, why should we not then set forth a price which benefits our nations and our Peoples?

With these goals in mind I propose that our nations agree to a mutual reduction in our production of oil, meeting every three months to review and consider production levels moving forward while ensuring a stable price once our threshold is met. At the same time, we may entertain considerations for developing economies, those such as Zimalia and Phuebra, for arrangements which may benefit their development. We've already seen the successes of Tamoran ventures in Zimalia, I feel that strengthening such nations and seeing them closely aligned with our regional concerns may ultimately benefit the position of Midaranye moving into the future while recognizing that, much like us, they are often scorned and overlooked by the privileged few.

I look forward to a productive discussion with all of you.

Akasha Di-‘nh-mi-Re, Sovereign of Sovereigns, Divine of Appearance, Beloved of Amun, Chosen of Ra, Lord of the Three Lands, Ruler of Justice like Ra, High Priest of Every Temple, the Eye of Horus, Satisfied is the heart of Ra.

Beatrice Anselmo
Grand Chancellor of the Independent Order
Empress of the First Empire of Rokkenjima

Factbook of the First Empire of Rokkenjima - Kingdom of Clysperis

Offline Major Jaws

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Re: A Clysperi Proposal To OPEN - A Fair Price For Oil
« Reply #1 on: April 21, 2020, 05:46:53 PM »

OFFICIAL LETTER FROM THE MINISTRY OF ENERGY OF QUINTELIA

Fellow Members,

While we certainly see the benefits and support having an increase of the oil price, we however think that having a sudden 75% increase would be too much. An artificial price increase this sudden would see the world market move away from importing our oil and shift to other sources. Rising the price this sudden might lead to a price war with other oil-producing nations that are not part of OPEN. We have seen the capability of the Second Imperial Chinese Republic to produce oil synthetically through multiple processes. Driving the prices up would give way for their probable rapid expansion in the market. I fear that this decision would eventually leave our organization irrelevant.

What I propose is to increase the floor price of oil lightly over the course of a few years; starting with a $5 per barrel increase this year. This way, we would still see a rather significant increase in profits while still providing a fairly stable market. This would allow us to adjust our production and price based on any circumstance that may arise.

In addition, I also request the reconsideration of the SICR bid to join OPEN at least as an associate member. If possible, I also request to edit Section 11 to include synthetic oil production in the criteria for granting memberships. Their innovations on the production of fuel artificially is too important to be ignored. Having the pioneer on synthetic fuel production onboard with OPEN will allow us to corner the market for both synthetic and natural oil.

I look forward to your response and having a discussion on this, and may God/s bless you.

Truly yours,

Prince Fernando Ernesto Adartse
Quintelian Minister of Energy

Offline Beatrice

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Re: A Clysperi Proposal To OPEN - A Fair Price For Oil
« Reply #2 on: April 22, 2020, 03:54:32 AM »

A gradual increase is the best path forward, which is why I suggested "mutual reduction in our production of oil, meeting every three months to review and consider production levels moving forward while ensuring a stable price once our threshold is met." Pursuing an increase too quickly promotes instability as well as other factors which would be outside of our control.

On the matter of the SICR I will defer to the Tamoran and Seleucid positions on this matter before making my decision.

Akasha Di-‘nh-mi-Re, Sovereign of Sovereigns, Divine of Appearance, Beloved of Amun, Chosen of Ra, Lord of the Three Lands, Ruler of Justice like Ra, High Priest of Every Temple, the Eye of Horus, Satisfied is the heart of Ra.

Beatrice Anselmo
Grand Chancellor of the Independent Order
Empress of the First Empire of Rokkenjima

Factbook of the First Empire of Rokkenjima - Kingdom of Clysperis

Offline Markus

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Re: A Clysperi Proposal To OPEN - A Fair Price For Oil
« Reply #3 on: April 22, 2020, 05:23:12 PM »

Firstly, I would like to express your support for the proposal submitted by Pharaoh Akasha Di-‘nh-mi-Re, Sovereign of Sovereigns, Divine of Appearance, Beloved of Amun, Chosen of Ra, Lord of the Three Lands, Ruler of Justice like Ra, High Priest of Every Temple, the Eye of Horus, Satisfied is the heart of Ra.

Secondly, we agree with our Quintelian friends that such an action raises risks for the organization and we support the gradual increase in price as well as the review every three months in order to determine the progress towards towards the goal and whether the circumstances determine a change in policy.

Thirdly, we support SICR bid to join OPEN as an associate member. We will also review the proposal to change the charter but we cannot make a commit now one way or the other. 

Lastly, we agree with Pharaoh Akasha Di-‘nh-mi-Re, Sovereign of Sovereigns, Divine of Appearance, Beloved of Amun, Chosen of Ra, Lord of the Three Lands, Ruler of Justice like Ra, High Priest of Every Temple, the Eye of Horus, Satisfied is the heart of Ra regarding her assessment of Zimalia and Phuebra. As stated in during our previous meeting, the Tamoran government is firmly convinced that the green lobby remains the highest threat to the organization as it encourages lowering the demand for fossils fuels. The Tamoran government will do its best to promote the construction of oil and gas power plants in developing countries and will bring before the OPEN members the proposal to fund such ventures in the future.


Respectfully yours,
Thanasis Polakis
Deputy Head (VP) of OPEN


Online DaveIronside

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Re: A Clysperi Proposal To OPEN - A Fair Price For Oil
« Reply #4 on: April 30, 2020, 10:16:48 PM »
Having consiulted with several Royal Seleucid oil production companies we believe gradual increases a better way forward than a huge jump. As such we would support the approach already proposed of a $5 increase per barrel now with a futher review of the situation at the end of July 2020.

As of yet we are not willing to consider the SICR as a member of this organisation under any level of membership. We would however reconsider this request on two conditions, the first being that they agree to sell synthetic oil for the same price per barrel as crude and that they match all levels of price change approved by this organisation thus keeping the prices of parity.
« Last Edit: April 30, 2020, 10:26:52 PM by DaveIronside »