On the first anniversary of Russia’s invasion of Ukraine, the International Energy Agency has published commentary and analysis on how things stand concerning the war and the global energy crisis it has precipitated.
The invasion delivered a huge shock to global energy markets and a crippling blow to Russia’s relationship with its biggest customer, the European Union. In a commentary published on 23 February, IEA executive director Fatih Birol assessed what has changed during a tumultuous year for the global energy system – highlighting three key takeaways from the crisis so far.
First, Russia played the energy card and didn’t win, with its oil and gas revenues plummeting about 40% over the past year and set to drop even more in the years ahead. Russia now faces a permanent loss of standing in the energy world: it is not only losing major customers but also access to key technologies and financing due to sanctions.
Second, government policies really do matter – especially in times of crisis. Policies incentivising faster deployment of clean energy have been successful, while governments’ pragmatism and resourcefulness have helped secure energy supplies to keep the lights on.
Third, the crisis isn't over yet, but Europe’s strong response and the mild weather this winter has bought it valuable time. This will be key for implementing the bold policies and structural changes needed to insulate energy systems and shield consumers from volatility.
The full analysis can be found by following these links:
IEA Commentary: https://www.iea.org/topics/russias-war-on-ukraine