International Energy Agency (IEA) Executive Director Fatih Birol expects the ongoing energy crisis to continue into 2027, warning that the world will still be dealing with its consequences as governments seek alternative energy sources and strengthen supply security, Anadolu reports.
Addressing the Investment Summit Towards COP31 in Istanbul remotely, Birol says developments worldwide and countries’ energy policies offer little reason to expect normalisation next year.
“I am not optimistic about normalisation in 2027,” he explains. “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,” he adds.
Birol says the crisis in the Strait of Hormuz is affecting the economy, agriculture and energy, prompting governments, companies and investors to reconsider their short- and long-term strategies. He draws parallels with the oil crises of 1973 and 1979, which he says spurred nuclear energy development and improvements in vehicle efficiency.
