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Subroto bows out of OPEC with a big smile

| Source: REUTERS

Subroto bows out of OPEC with a big smile

VIENNA (Reuter): OPEC lost one of its most persistent voices
of moderation on Thursday as Indonesia's Subroto made his final
appearance as Secretary-General at a conference of the sometimes
fractious 12 oil exporters.

The former oil minister, now 65, ends six years in the job as
the Organisation of Petroleum Exporting Countries' effective
international ambassador, charged with running the group's Vienna
headquarters.

His departure, after completing the maximum two consecutive
terms in office, has plunged OPEC back into the chaos of
political rivalry over the post that his appointment back in 1988
had resolved.

Before he took the reins, the post had been occupied since
1983 by an acting secretary-general because of a dispute over
candidates involving Iran and Iraq.

Now OPEC is hamstrung again, as 11 ministers were unable to
convince Iran to withdraw its candidate and allow Venezuela's
former Oil Minister Alirio Parra to gain the necessary unanimous
endorsement.

The conference ended with the stop-gap decision to give
Libya's Oil Minister Abdullah Salem al-Badri the joint role of
OPEC conference president and acting secretary-general, putting
off a decision on a full-time replacement until the ministers
next meet in November.

Subroto, an aristocratic Javanese was the first OPEC
secretary-general to have held political ministerial rank, and
the status gave him the respect necessary to play a leading role
in organization's negotiations.

As Indonesia's Mines and Energy Minister from 1978 to 1988 he
saw the heady days of the second oil price shock, when the price
briefly touched $40 a barrel in the aftermath of the Iranian
Revolution. At the time he was in the moderate camp, favoring
more reasonable prices.

He was also there during OPEC's dark days when other oil
producers emerged and oil consumers switched to alternative
fuels, culminating in the 1986 price collapse below $10.

Morale in OPEC was extremely low through most of the 1980s.
Iran and Iraq were at war for eight years, and the other Gulf
Arabs at that time supported Iraq.

During those years OPEC's share of the world market was
whittled down just over one-third by large quantities of oil from
the North Sea oil and other non-OPEC sources.

Central role

Subroto played a central role at OPEC's all-too-numerous
conferences to agree lower and lower output ceilings in desperate
efforts to bolster the market.

In OPEC circles he became known as one of "The Three Wise Men"
-- three ministers (the other two were generally Nigerian and
Venezuelan) who tried to broker agreements cutting up quota
shares fiercely guarded by governments trying to protect their
revenues.

It was a role that he helped his successor as Indonesian Oil
Minister, Ginandjar Kartsasasmita, continue within an
organisation which remained fraught with frictions between its
numerous Arab members - which exploded yet again in 1990 with
Iraq's invasion of Kuwait.

Throughout the tribulations the still sprightly veteran made
every effort to remain optimistic, and, acting as OPEC's chief
mouthpiece, built a strong rapport with OPEC's often critical
media following through patience and good humor.

Those qualities showed in his last appearance at a conference
as secretary-general on Thursday.

Asked how he would like his stewardship of OPEC to be
remembered Subroto replied: "with a bow tie and a smile."

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