Despite on the basis of agreement, production in oil sector decreased during January-September of this year, increase in gas sector ensured an increase at 1,1% of oil and gas sector, it is reflected in the review of Chamber of Accounts on the draft law on State budget for 2020, APA-Economics reports.
It is noted in the document that the acceleration of growth rates of oil and gas sector was observed in January-September of 2019. This is explained with commissioning of the second stage of operation of the Shah Deniz field. A significant increase in gas production (29,3%) has resulted in 1,1% increase in real terms of oil and gas sector during 9 months by surpassing negative impacts formed from a decrease in oil production (-2,8%). As of the end of the reporting period, the oil and gas sector in nominal terms has been AZN 22,959.7 mln., amounted to 39.3% of the value added in the economy.
In the first three months, oil-gas sector has demonstrated higher increase rates, 4.6% real increase has been observed in the end of the first quarter. However, the decrease of oil production by about 3% since April resulted in decline in dynamics. Increase of 3.2% in oil-gas sector decreasing amounted to 1.1% from beginning to the end of the reviewed period. Oil-gas sector has exceeded non-oil sector from the positive contribution to increase of the GDP point of view during the first quarter: “Decline in oil production in recent years is related to the OPEC+ agreement. According to the International Energy Agency, obligation, determined in the agreement on cutting oil production in July, has been implemented by non-OPEC countries by 107% of which main part falls to the share of Azerbaijan and Kazakhstan.
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