Commodities Buzz: IEA Says World Facing Its First Truly Global Energy Crisis

27 Oct 2022 , 01:13 PM

The International Energy Agency (IEA) said the world is facing its first truly global energy crisis. In its World Energy Outlook 2022, it stated that unaffordable energy bills remain a huge problem, driven up as the exports of oil and gas have been restricted. However, the crisis should also be seen as a turning point, speeding up the worlds transition to green energy, it said. The heaviest burden is falling on poorer households where a larger share of income is spent on energy, the IEA has noted. It noted that stronger policies will be essential to drive the huge increase in energy investment that is needed to reduce the risks of future price spikes and volatility, according to this years WEO. Subdued investment due to lower prices in the 2015-2020 period made the energy sector much more vulnerable to the sort of disruptions we have seen in 2022.Powered by Commodity Insights