Fatih Birol, the head of the International Energy Agency, has urged world leaders not to treat the global energy crisis caused by the Iran war as someone else’s problem, warning that every nation will feel the consequences if a coordinated international response fails to materialize. Speaking in Canberra, the IEA chief said the crisis had grown to the equivalent of the 1970s twin oil shocks and the Ukraine gas emergency combined — a scale too large for any single country or region to manage alone. He called for a unified global approach.
The conflict began with US and Israeli strikes on Iran on February 28 and quickly led to the closure of the Strait of Hormuz, through which about 20 percent of global oil supply travels. Attacks on shipping and on Gulf energy infrastructure have removed 11 million barrels of oil per day and 140 billion cubic metres of gas from international markets. These losses are more than double those of the combined 1970s oil crises and exceed the gas losses of the Ukraine conflict.
The IEA authorized its largest ever emergency reserve release — 400 million barrels of oil on March 11 — and called on governments to implement energy-saving measures including expanded remote work, lower highway speed limits, and cuts to commercial aviation. Birol confirmed that discussions about further reserve releases were ongoing with governments in Asia, Europe, and North America. He was clear that reserves could ease but not resolve the crisis.
At least 40 Gulf energy facilities have been severely damaged, meaning supply cannot be quickly restored even after hostilities end. The Hormuz strait’s continued closure has hit Asia-Pacific nations hardest, with Japan indicating potential willingness to contribute to minesweeping efforts if a ceasefire is achieved. Europe has also seen diesel and jet fuel supplies tighten, while increased North American output offers only partial relief.
Trump’s 48-hour ultimatum to Iran to reopen the strait expired without resolution, and Iran threatened retaliatory strikes on US and allied energy and water infrastructure. Birol warned that some Asian nations were hoarding fuel domestically, a trend that would worsen global supply dynamics. His fundamental message was that this is a shared global problem that demands a shared global solution — and that isolationist approaches would only deepen the crisis.