The International Energy Agency (IEA) is discussing a new release of fuel from strategic reserves, with diesel as a priority. The agency's executive director Fatih Birol has suggested that member states assess whether additional quantities are needed and, if so, determine their volume, timing and method of release.
The proposal comes against the backdrop of record fuel prices and supply disruptions related to the war in Iran. In a statement from the IEA, Birol said that “the current market situation requires immediate attention“ and that it can best be managed through continued cooperation among member states.
Prioritizing already pledged quantities
The IEA has urged countries that have not yet fully fulfilled their commitments to accelerate their remaining releases, with a greater share of them going to diesel fuel. This must be done before the agency’s board of governors meets on October 15.
In March, member states agreed to release a total of 400 million barrels of oil in response to supply disruptions. By early October, about 325 million barrels had been released, and full implementation of the remaining commitments would add about 100 million barrels to the market.
There are more than 200 million barrels of diesel in the reserves
On October 7, member states supported accelerating already agreed releases and prioritizing diesel stocks in the face of a tight market. The IEA reported that member states’ public emergency stocks amount to about 1.1 billion barrels, including more than 200 million barrels of diesel.
At its meeting on October 15, the Governing Council will assess progress on current supplies and the need for further action. For now, Birol's proposal does not represent a final decision on a specific new volume, but a call for countries to make an assessment and present possible quantities and deadlines.
Sources: dariknews.bg, brecorder.com