Fatih Birol, President of the International Energy Agency (IEA), stated that there is a sufficient amount of oil in the markets and said, “Based on my discussions with IEA member countries and current market conditions, I can say that all options are on the table, but there is no collective action plan at this stage.” he said.
Birol made statements regarding the agenda at the Brussels Press Club (Press Club Brussels) after his meeting with EU Commission President Ursula von der Leyen and Commission members.
“We talked about the challenges Europe faces regarding energy, especially electricity prices in Europe.” Birol said that they discussed the global energy market situation and the various energy challenges that Europe is facing today.
Regarding the recent discussions on returning to Russian gas in Europe, Birol said, “The current crisis and situation in the Middle East raises questions about Russia in some circles. It is being discussed whether there will be a return to gas supply from Russia. Of course, this will depend on the countries’ own decisions. However, my personal opinion is, first of all, that one of Europe’s historical mistakes was to make its energy resources dependent on a single country, that is, Russia.” he said.
Pointing out that a large amount of liquefied natural gas (LNG) will come to the world markets from the USA, Canada, Qatar and Australia in the next few years, Birol said, “It would be economically and politically wrong to see Russia as an alternative option in the supply of natural gas.” he said.
Birol stated that there is already a large amount of oil in the market, but the problem is related to logistics, and said, “Based on my conversations with IEA member countries and current market conditions, I can say that all options are on the table, but there is no collective action plan at this stage.” made his assessment.
Birol explained that the rise of oil above 80 dollars was temporary and due to logistical disruptions, and emphasized that there was no global oil supply constraint.
Following the joint attacks of the USA and Israel on Iran, ship traffic in the Bosphorus came to a halt when Iran attacked commercial ships passing through the Strait of Hormuz. The Strait of Hormuz is of strategic importance in terms of global oil and LNG supply.
