Cargo vessels in the Strait of Hormuz—governments globally are thinking about how to reduce demand to combat the energy shortage.
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As fears of an escalating energy crisis ripple through Europe, there’s a faint echo of the early pandemic—when governments called on citizens to change how, when, and why they moved. This time, the threat is not a virus but soaring energy insecurity triggered by the war in Iran. The European Commission is now appealing to member states to urge their citizens to follow voluntary demand-saving energy measures, notably in the transport sector as fears of an energy shortage increase.
EU Energy Chief Dan Jørgensen sent a letter to member states’ National Energy Ministers, seen by Politico, asking them to consider “voluntary demand-saving measures… with particular attention to the transport sector.”
Energy ministers are holding an emergency meeting on Tuesday to discuss the energy crisis. Europe’s transport sector is heavily reliant on the Persian Gulf for over 40% of its jet fuel and diesel imports and Politico reports that there are growing fears the war will not end as quickly as anticipated.
The International Energy Agency Has Tabled Proposals To Save Energy
Indeed, the International Energy Agency has a list of demand-reduction proposals that focus heavily on road transport, which accounts for 45% of global oil demand, such as reducing highway speeds. The proposals also cover working from home, aviation and cooking. Many of the same measures were introduced during the 1970s oil crisis, which included gasoline rationing and drive-free Sundays.
IEA Executive Director Fatih Birol said in the same report, “The war in the Middle East is creating a major energy crisis, including the largest supply disruption in the history of the global oil market. In the absence of a swift resolution, the impacts on energy markets and economies are set to become more and more severe.”
Germany’s Chancellor Merz was quoted on X as saying, “The effect of the Iran War on Germany and Europe will be as serious as the COVID-19 pandemic if it expands.”
Many Governments Have Already Introduced Energy-Saving Measures
After the closure of the Straits of Hormuz, oil exports from Gulf states have been disrupted, and there are fuel shortages across many Asian nations, causing many governments to rethink the energy consumption of their residents and implement government orders to work from home to conserve energy:
- Thailand’s non-frontline public sector employees are working from home with air conditioners that are set to 26 degrees, and they’re being encouraged to use stairs instead of lifts.
- The Philippines‘ public sector employees are now in the office only 4 days a week, and some are working 4-day workweeks.
- In Pakistan, the government announced a mandatory work-from-home policy for 50% of public sector employees and suggested that the private sector do the same. Universities are moving to online classes.
- In Vietnam, all citizens have been asked to work from home if possible and to switch to bikes instead of powered vehicles.
- The New York Times reports on how South Koreans are being told to take shorter showers to reduce energy consumption.
- In response to a national fuel shortage, children in Laos have been moved from a five-day school week to a three-day week; the academic year will be extended as needed to ensure that children cover everything they need to for exams.
- And Bloomberg reports that Egypt has ordered shops and cafes to close early, with malls shuttering by 9 pm for five days of the week. At weekends, they can close at 10 pm, which is still early for Egyptian residents.
For many, these appeals by governments recall the sudden restrictions and adapted routines of 2020—remote work, grounded flights, quieter streets. The context may be different, but the underlying question feels familiar: how willing are we to travel less, cancel flights, or swap the car for a train or bike in the coming weeks, not to preserve our health but to save on energy?