SOCAR to submit new development strategy to government

"Guided by President Ilham Aliyev's critical views on state-owned companies at the meeting on the measures taken to combat the coronavirus and the socio-economic situation on August 6, 2020, we are accelerating the steps to improve the corporate governance system, ensure the profitability of transformation, operational and investment projects in line with effective market economy trends," said President of the State Oil Company of Azerbaijan (SOCAR) Rovnag Abdullayev.

Report informs, citing his article published in the official press, that some time ago, together with McKinsey, SOCAR prepared a new development plan covering the period up to 2035 and will be submitted to the government in full detail: "Sustainable progress of the company, application of an enhanced effective management system, increasing social and environmental responsibility, assessment of the country's fuel and energy needs and ensuring the company's profitability are among the fundamental principles of the strategy. Promoting the company's management model, centralizing functional management, achieving flexibility in business operations, eliminating bureaucratic barriers, and simplifying management processes are among the prerequisites.

Abdullayev stated that the Corporate Strategy until 2035 fully reflects the development trends of SOCAR's global, regional and local projects, determines the coordination of future activities in the oil and gas industry, the main directions of integration of the value chain: "The document, prepared following the requirements of Industry 4.0, pays special attention to the digitization of the production cycle, boosting investment in innovation and venture projects, optimizing human resources through in-service training and retraining programs, which will achieve more sustainable fulfillment of our company's social employment obligations. Based on the new policy, we intend to reconsider our investment portfolio, ensure our business's sustainability, and increase the efficiency of the company's operating model.

The SOCAR President stressed that one of our main strategic goals, as always, is to increase Azerbaijan's share in regional and global energy security by fully meeting the country's domestic demand for oil, gas, refining, and chemical products: "Today, renewable energy is given priority worldwide, and the ongoing transformation processes are supported. Given this course's prospects, we have set important goals in the coming years to stimulate low-carbon business, circular economy, and cleaner operations. We believe that SOCAR's "Corporate Strategy until 2035" will bring us closer to these goals and, as a result, will make an essential contribution to the sustainable development of the Azerbaijani economy."