Europe has “maybe 6 weeks of jet stock,” the head of the International Energy Agency (IEA) warned Thursday in an interview with The Associated Press. Fatih Birol sounded the alarm of impending cancellations “soon” if oil supplies remain blocked because of it.
“The biggest energy crisis in history”
The IEA’s Executive Director described in dark colors the global implications of what he described as “the biggest energy crisis we have ever faced”. The crisis stems from the disruption of the flow of oil, natural gas and other vital supplies through the Straits of Hormuz.
“There used to be a band called Dire Straits. Now, the Straits are indeed in dire straits and this will have major implications for the global economy. The longer it lasts, the worse things will be for economic growth and inflation worldwide,” he said.
Chain increases in petrol and electricity
The impact will translate into “higher prices for gasoline, natural gas and electricity,” Birol said, noting that some regions of the globe will be hit harder than others.
“At the forefront are Asian countries, relying on energy from the Middle East,” he said, naming Japan, Korea, India, China, Pakistan and Bangladesh.
The range of cancellations in Europe
Then the wave of the crisis will hit Europe and America, Birol added from his office in Paris. If the Straits of Hormuz are not reopened, he predicted that for the old continent the news will not be pleasant:
“I can tell you that we will soon hear news that some flights from city A to city B may be canceled as a result of a lack of jet fuel.”
