Published on: 2026-06-04
Source: United Nations – United Nations –
An important disclaimer is at the bottom of this article.
Although the world has so far avoided a global shortage of fuel and fertilizers, it is too early to rejoice – depletion of reserves and the approach of an anomalous summer heat may trigger a new wave of crisis. This was stated by the director of the department for sustainable energy, land resources, and housing of the United Nations Economic Commission for Europe (UNECE), Dario Liguti.
According to him, by the beginning of the summer, the situation in the global markets remained relatively stable, if not counting the general price increase. Many might have a natural question arise: “How come? Were we not forewarned?one of the energy crisessince the 1970s?
Ligut explained that at this stage, the decline in the volumes of supply of fossil fuels and fertilizers has been compensated for due to a whole range of factors. Among the key dynamics, he highlighted:
- Increase in supply deliveries (via pipelines and road transport) through alternative routes from the Persian Gulf region;
- Increasing exports by other producers, including Venezuela, the USA, and African countries;
- decline in local demand, especially in South and Southeast Asia;
- Restraint of purchases by major importers, such as China;
- Reduction in the volumes of the use of chemicals and fertilizers in agriculture;
- price growth, which itself forced consumers everywhere to reduce spending.
An important role was also played by the active use of commercial and strategic reserves, including supplies coordinated by the International Energy Agency (IEA) and China.
All this helped to temporarily compensate for the shortfall of millions of barrels of oil, tons of fuel, and other chemicals.
“So does this mean that we are out of danger? Actually, no,” Liguti warns. “Strategic reserves are now depleted to a dangerously low level. At the same time, we are entering a period of scorching summer, which is exacerbatedone of the most powerful climatic phenomena El Niñofor the last years”.
Extreme summer heat sharply increases energy consumption for cooling purposes, as well as leads to the shallowing of reservoirs. Water is necessary both for transport and logistics, and for the operation of power plants.
A UN EAE representative emphasized that the inevitability of forming new winter reserves lies ahead, while the overall reduction in demand worldwide remains insignificant for now.
Even if the situation in the Hormuz Strait fully normalizes right now, prices will still remain high, and supply disruptions — especially in local markets — will continue for at least several months.
In the event of a prolonged conflict, the world should prepare for another price jump and a more severe raw materials shortage. “Therefore, what we discussed a month ago still holds: save energy, consume less, and stock up,” summarized Dario Ligutti.
Please note; this information is raw content, obtained directly from the information source. It represents an accurate report of what the source claims and does not necessarily reflect the position of MIL-OSI or its clients.