The ongoing conflict in Iran has triggered a severe global energy crisis, drawing parallels to the oil shocks of the 1970s and the repercussions of the Ukraine war, according to Fatih Birol, the executive director of the International Energy Agency (IEA). With significant disruptions to oil and gas supplies, the situation has raised alarms among world leaders about the potential long-term impacts on the global economy.

Impact of the Conflict on Energy Supplies
The conflict, which intensified following bombings in Tehran on February 28, has led to the loss of approximately 11 million barrels of oil per day and about 140 billion cubic meters of gas. Birol emphasized that the damage to at least 40 energy assets in the Gulf region means that even if hostilities cease, a quick restoration of energy supplies is unlikely. He stated that current losses far exceed those experienced during the oil crises of the 1970s, which saw daily losses of 5 million barrels.

Urgent Measures Proposed
In response to the crisis, the IEA has called for immediate demand-side measures to mitigate the impact, including promoting remote work, lowering highway speed limits, and reducing air travel. These actions are intended to alleviate the strain on energy resources while the situation remains precarious.

Strategic Importance of the Hormuz Strait
The closure of the Hormuz Strait, a critical passage for about 20% of the world's oil supply, has compounded the crisis. Birol described reopening this strait as the most crucial solution to the ongoing energy shortages. The U.S. government has also intervened, with President Donald Trump issuing a 48-hour ultimatum for Iran to reopen the strait, warning of severe consequences if the deadline is not met.

International Reactions and Military Considerations
In the wake of these developments, Iran's military has threatened to target energy and desalination infrastructure linked to the U.S. and its allies in the region. Meanwhile, Japan has signaled a potential willingness to deploy military resources for minesweeping operations in the strait, contingent on a ceasefire. Birol noted that the Asia-Pacific region has been particularly affected by the energy supply disruptions, prompting consultations with world leaders across various continents.

Wrap-up
The combination of the Iran conflict and the closure of the Hormuz Strait has led to a multifaceted energy crisis that poses significant risks to global economic stability. With both immediate and long-term repercussions, the international community is urged to respond swiftly to prevent further escalation.

Sources
theguardian.com

@hoju-korean.com Editorial Team