Brussels, Belgium. European Union governments should prepare for a potentially prolonged disruption to energy markets stemming from the Iran war, EU Energy Commissioner Dan Jorgensen said in a letter ahead of an emergency meeting on Tuesday.
Letter to ministers ahead of emergency meeting
In a letter dated March 30 and seen by Reuters, Jorgensen told energy ministers that governments were encouraged to make timely preparations in anticipation of a potentially prolonged disruption.
Europe’s exposure to global energy price swings
Europe’s heavy reliance on imported fuel leaves it exposed to the Middle East conflict’s impact on global energy prices. European gas prices have risen more than 70% since the U.S.-Israeli war on Iran began on February 28.
Hormuz route not directly affecting EU crude and gas supplies
The EU’s supplies of crude oil and natural gas have not been hit directly by the closure of the Strait of Hormuz, as Europe imports most of those energy sources from suppliers outside the Middle East.
Concerns focus on refined petroleum products
Jorgensen said Brussels was particularly concerned in the short term about Europe’s supply of refined petroleum products, including jet fuel and diesel.
Guidance on consumption, trade, and refinery operations
The letter said governments should avoid measures that would increase fuel consumption, limit trade in petroleum products, or disincentivise output at European refineries handling these products. It also encouraged member states to defer any non-emergency refinery maintenance.
How is your country preparing for potential disruptions in refined fuel supplies such as diesel and jet fuel?
