The head of the IEA, International Energy Agency, Fatih Birol, stated that the global energy crisis could worsen in the coming years. With a nerve center that will be under a real storm, starting as early as this winter: Europe.
Winter in Europe? Very, very difficult
“The world has never seen an energy crisis so severe in terms of its depth and complexity.” The said Birol yesterday at an industry event in Australia. “We may not have seen the worst yet: it is a condition that is affecting the entire world.”
The IEA point man stressed that the entire global energy system is in turmoil after the start of the conflict in Ukraine, there skyrocketing prices of energy raw materials and all the consequences they bring with them.
The situation is particularly serious in Europe, where, says Birol, “this winter […] will be very, very difficult. This is a major concern and could have serious implications for the global economy.”
Prepare for impact
The apprehension about winter is absolutely legitimate and unfortunately also justified. Especially after Russia cut the flow of gas through the Nord Stream 1 pipeline in June, blaming a Canadian turbine (Canada which had just imposed new sanctions on Moscow).
Earlier this week, Canada agreed to return the turbine when Germany (which is apprehensive not only about the winter, but already this summer) asked it to make an exception, but Gazprom stopped completely the flow of gas through Nord Stream 1. The reason? An "already scheduled maintenance", but the fear is that it may not restart the flow once the maintenance is completed.
LNG is not enough, and it will not be enough
Europe has been importing LNG from around the world to fill its gas reserves for the winter, and to fuel its economies as it tries to reduce imports of Russian gas, but it still has a long way to go before it reaches objective of80% by the end of October.
Birol compared the current situation to the oil crisis of the 70s, noting how that crisis (with its attendant austerity) spurred major advances in fuel efficiency.
The hope is that this serious situation will give further impetus to the transition towards low carbon energy: but it is a hope that does not give us any serenity.
