The International Energy Agency (IEA) advised governments not to return to coal as a primary energy source following disruptions in the Strait of Hormuz.
The warning comes as the global energy market faces severe instability. Reverting to coal would undermine international efforts to manage price spikes and transition to cleaner energy sources.
According to the IEA, the closure of the Strait of Hormuz has removed 13 million barrels of oil per day from the market [2]. This supply shock has pushed oil prices to near $100 per barrel [1].
Fatih Birol, the head of the IEA, said the current situation is the biggest crisis in history. He said nations should resist the temptation of using cheaper, dirtier fuels to bridge the gap created by the oil shortage.
"Don't run back to coal again," Birol said.
While the IEA pushes for a move away from additional fossil-fuel reliance, some governments are implementing immediate emergency measures to stabilize their economies. These responses include the release of strategic reserves, and the implementation of fuel tax cuts [3].
The IEA report suggests that the current volatility highlights the inherent risks of relying on volatile fossil fuel corridors. The agency maintains that a pivot toward renewables is the only long-term solution to prevent such geopolitical events from triggering global economic shocks.
“"Don't run back to coal again."”
The tension between immediate economic survival and long-term climate goals is peaking. While governments use strategic reserves and tax cuts to soften the blow of $100 oil, the IEA is signaling that any temporary return to coal would create a 'carbon lock-in' that makes the future energy transition significantly harder and more expensive.
