Business · Energy & Commodities · 3 hrs ago
IEA chief expects energy crisis to continue into 2027
IEA chief Fatih Birol expects the energy crisis to continue into 2027, with little reason to expect conditions to return to normal next year.
He said the Strait of Hormuz crisis is affecting energy, agriculture and the economy.
Governments, companies and investors are reconsidering their short- and long-term plans as they look for alternative energy and more secure supplies.
Birol compared the current crisis with the oil crises of 1973 and 1979, which he said helped spur nuclear energy development and more efficient vehicles.
At COP31 in Antalya, he proposed raising electricity’s share of global energy from 23% to 35% by 2035.
He said greater electrification could improve energy security and cut emissions, while giving investors a clear signal.
Birol said COP31’s success will be measured partly by how many governments attend and whether they agree on electrification.
International Energy Agency Executive Director Fatih Birol said he expects the energy crisis to continue into 2027.
He said global developments and countries’ energy policies offer little reason to expect a return to normal next year.
Birol said the crisis in the Strait of Hormuz is affecting the economy, agriculture and energy.
He said governments, companies and investors are reconsidering their short- and long-term strategies.
Birol proposed increasing electricity’s share of global energy from 23 percent to 35 percent by 2035.
- Who
- International Energy Agency Executive Director Fatih Birol.
- What
- He expects the energy crisis to continue into 2027 and proposed increasing electricity’s share of global energy.
- When
- He made the remarks on Oct. 23.
- Where
- He addressed the Investment Summit Towards COP31 in Istanbul remotely.
- Why
- Worldwide developments and countries’ energy policies offer little reason to expect normalization in 2027.
This story does not have two clearly opposing sides.
Birol said he expected the energy crisis to continue into 2027.
Birol proposed increasing electricity’s share of global energy from 23 percent to 35 percent.
- Speaker
- Fatih Birol
- Role
- International Energy Agency executive director
- Forecast
- Energy crisis expected to continue into 2027
- Location
- Investment Summit Towards COP31, Istanbul
- Electricity share proposal
- Increase from 23 percent to 35 percent by 2035
What people are saying
I am not optimistic about normalization in 2027,
Even when I try to look at things optimistically, I cannot find an argument that convinces me.
This crisis will continue in one form or another in 2027. The world will still be trying to heal its wounds, provided no new wounds emerge,