The United States and 30 other members of the International Atomic Energy Agency agreed on March 1 to release 60 million barrels of oil from their emergency reserves, sending a unified and strong message to the global oil market that there will be no shortage of supplies. The IEA has said that Russia has invaded Ukraine.
Russia’s attack comes against the backdrop of already tough global oil markets, rising price volatility, the lowest level of commercial inventory since 2014, and the limited capacity of producers to provide short-term surplus supplies.
After twenty-four hours of intensive coordination and consultation by the US President Joe BidenThe administration and U.S. allies and partners, IEA member states, backed by the European Commission, have agreed to a combined release of an initial 60 million barrels of crude oil from U.S. strategic petroleum reserves, the U.S. press secretary said. Jane Saki As part of the deal, Biden will authorize the Department of Energy to release 30 million barrels from the US Strategic Petroleum Reserve.
IEA member states have also agreed to continue monitoring the market and consider further releases as needed.
The meeting was chaired by US Secretary of Energy Jennifer GranhomeThe ministers expressed solidarity with the people of Ukraine and their democratically elected government against Russia’s atrocities and violations of Ukraine’s sovereignty and territorial integrity.
The IEA ministers noted with concern the impact of Russia’s heinous actions on energy security and supported the sanctions imposed by the international community in response, the IEA said in a press release.
“It is gratifying to see how quickly the world community has come together to condemn Russia’s actions and to respond decisively.” Fatih is rare “I am just happy that the IAEA has come together today to take action. The situation in the fuel market is very serious and demands our full attention. Global energy security is under threat, putting the global economy at risk in a fragile recovery phase. “
He welcomed the decision of IEA member countries to provide an initial 60 million barrels to stabilize the oil market. “I am delighted that our member countries are committed to doing their utmost to support Ukraine in the field of energy supply. At the invitation of the Governing Board, I look forward to welcoming the Minister of Energy of Ukraine. German Galushchenko As a special guest at our forthcoming ministerial meeting later this month, ”said Biral.
Saki said the March 1 IEA release, aimed at supporting global energy security, was another example of partners around the world condemning Russia’s unwarranted and unjustified aggression in Ukraine and working together to counter the Russian president’s influence. Vladimir PutinThe battle of choice. He noted that Biden was clear from the start that all equipment was on the table to protect American businesses and consumers from rising pump prices.
“We are ready to use every means at our disposal to limit the disruption of global power supply as a result of President Putin’s actions. We will continue our efforts to accelerate the diversification of energy supplies away from Russia and to protect the world from Moscow’s oil and gas armaments, “said Saki.
IEA members hold 1.5 billion barrels of emergency reserves. 60 million barrels, or 4% of those reserves, the equivalent of 2 million barrels per day for 30 days. The integrated drawdown is the fourth in IEA history, created in 1974. The previous joint action was taken in 2011, 2005 and 1991.
According to the IEA, Russia plays a major role in the global energy market. It is the third largest oil producer and largest exporter in the world. Its daily exports of about 5 million barrels of crude oil represent about 12% of world trade – and its approximately 2.85 million barrels of petroleum products represent about 15% of global refined goods trade. About 60% of Russia’s oil exports go to Europe and the remaining 20% to China.
The ministers said on March 1 that energy supplies should not be used for political coercion or as a threat to national and international security. “The IEA Secretariat will continue to closely monitor global oil and gas markets and make recommendations to the Governing Board, including the necessary additional emergency oil stock draws,” the IEA said.
The Governing Board urged each member state to extend all possible assistance to Ukraine in the supply of oil products, and recommended that the government and consumers maintain and intensify conservation efforts.
The ministers also discussed Europe’s significant reliance on Russian natural gas and the need to reduce it by looking at other suppliers, including liquefied natural gas (LNG), and to continue a well-managed acceleration of clean energy change, the IEA said on April 3, IEA Secretariat a 10. The point plan will reveal how European countries can reduce their dependence on Russian gas supplies by next winter.