Nations tighten energy savings as Mideast war hits supplies

A growing number of countries are imposing strict energy-saving policies to curb consumption and soften the blow of skyrocketing fuel costs, following severe supply disruptions triggered by the Middle East conflict. According to the International Energy Agency’s (IEA) 2026 Energy Crisis Policy Response Tracker, governments are combining demand-reduction measures with tax cuts, subsidies, and price controls to protect households. The crisis deepened after joint US-Israeli strikes on Iran restricted traffic through the Strait of Hormuz—a chokepoint carrying roughly 20% of global oil shipments—pushing Brent crude prices nearly 50% above pre-war levels. Natural gas prices have also surged worldwide.

Asia leads conservation efforts

Asian nations, heavily reliant on Middle Eastern liquefied natural gas (LNG) and crude, have introduced some of the strictest measures. China imposed temporary price caps on refined petroleum products. Bangladesh capped air-conditioning at 25°C (77°F) in public buildings, closed universities, and expanded public transport. Indonesia allows public-sector remote work one day per week while restricting official travel and accelerating biofuel programs. India limited industrial natural gas use and commercial LPG consumption. South Korea introduced weekly vehicle-use limits for public institutions, with further private vehicle restrictions planned if oil reaches $120–$130 per barrel. Laos reduced school weeks from five to three days. The Philippines declared a national state of emergency, introduced a four-day workweek for public employees, and offered free public transport for students and workers. Myanmar, Sri Lanka, Thailand, Vietnam, and Singapore have all rolled out varying remote-work, fuel-quota, and energy-efficiency initiatives.

Europe, Africa, Latin America, and Türkiye respond

In Europe, Germany limited fuel price increases, France offered financial support to transport and fishing sectors, Spain provided tax breaks for energy efficiency, and Sweden temporarily reduced fuel taxes. The EU Commission urged member states to discourage driving and flying while promoting remote work. Since the conflict began, EU gas prices have risen about 70% and oil prices about 60%, adding €14 billion ($16.12 billion) to the bloc’s fossil-fuel import bill. In Africa, Nigeria urged industrial energy efficiency, Ethiopia encouraged remote work and expanded fuel subsidies, and Egypt introduced one-day weekly remote work for public employees. In Latin America, Brazil expanded fuel-producer support, Chile froze kerosene prices, Mexico imposed price caps, and Argentina postponed fuel-tax increases. Türkiye activated an indexation clause in early March to limit the impact of rising fuel prices on consumers, reflecting Ankara’s proactive stance in shielding its citizens from global energy shocks while continuing to call for diplomatic resolution of the conflict.