The International Energy Agency's (IEA) head, Fatih Birol, stated in an interview with Reuters on Monday that the agency is not currently discussing a second release of strategic oil reserves. He emphasized that the IEA continues to monitor energy market developments closely.
Birol noted that 80% of strategic reserves remain intact after an earlier withdrawal of 400 million barrels in March. He also expressed the agency's worries about Europe's gas supplies over the winter, while reaffirming their commitment to market observation and updates.
Challenges Ahead Amid Strait Closure Concerns
The IEA also sounded an alarm on Monday about tougher times ahead if the Strait of Hormuz remains closed. It warned that global oil reserves are nearing depletion without the reopening of the strait.
The agency highlighted that even if the Strait of Hormuz reopens, energy security has entered a new era, signaling that the industry may not return to its previous state.
Energy Saving Measures Implemented Worldwide
The IEA announced that over 115 countries have enacted measures to adapt to the fallout of the Iran conflict and the Strait of Hormuz closure, seeking to mitigate energy supply disruptions. Fifty-eight governments have implemented energy-saving measures, such as reducing fuel usage, supporting remote work and study, limiting government travel, and decreasing electricity consumption in buildings.
Ninety-four governments have provided direct energy price support with price caps, fuel subsidies, and tax measures to alleviate consumer burdens. Additionally, thirty countries have declared long-term policies to reduce dependency on fossil fuels through energy efficiency programs, expansion of electric vehicles, and promotion of renewable energy use.