IEA chief says energy markets unlikely to return to pre-war levels in 2027

International Energy Agency (IEA) Executive Director Fatih Birol said energy markets are unlikely to return to their pre-war levels in 2027, warning that no credible pathway currently exists for such a recovery. He made the remarks while addressing the Singapore International Energy Week conference.

"I am afraid I don't see any credible pathway that the markets will go next year where we were before this war has started," Birol told the conference. He added that governments and businesses should therefore prepare accordingly, treating energy security as a top priority. "So therefore, we all need to get prepared, taking the energy security as a number one priority in our government, business world, but without forgetting what is the next chapter for the countries and for companies that are all here today," he said.

The war, according to the report, sharply tightened a market that had been projected to be in surplus this year. It significantly disrupted global energy flows and pushed up the prices of oil and refined petroleum products.

Birol's remarks place the focus on energy security planning for governments and companies as markets adjust to the disruption. He did not outline specific measures or timelines beyond the assessment that a return to pre-war market conditions next year appears unlikely.

According to Mehr News, the IEA chief's comments at the Singapore conference underscored concerns over supply and pricing following the war's impact on global energy flows.