Prepare for Significant Rise in Energy Prices if Strait of Hormuz Remains Closed: IEA Chief Fatih Birol
Paris: Fatih Birol, Executive Director of the International Energy Agency (IEA), has warned that if the Strait of Hormuz is not reopened, the world should brace for a notable surge in energy prices.In his recent statement, Birol said the current situation is likely to cause severe volatility in markets, and consumers must prepare for upward…
Paris: Fatih Birol, Executive Director of the International Energy Agency (IEA), has warned that if the Strait of Hormuz is not reopened, the world should brace for a notable surge in energy prices.
In his recent statement, Birol said the current situation is likely to cause severe volatility in markets, and consumers must prepare for upward pressure on prices of gasoline, gas, and electricity. He added that the ongoing tensions over energy supply could have immediate effects, while global markets remain in a state of uncertainty.
The IEA chief further stated that, according to estimates, it could take approximately two years for oil and gas production to recover to pre-war levels. He described the current crisis as the largest energy security threat in history and emphasized that reopening the Strait of Hormuz is the single most important step to ease pressure on supplies, prices, and the global economy.
