IEA eyes massive oil reserve release to tame prices — WSJ
Photo: Decisions are to be made today, March 11 (Getty Images)
The International Energy Agency (IEA) has proposed releasing the largest oil reserves in history from its reserves to counteract the sharp rise in oil prices caused by the US and Israeli war against Iran, according to The Wall Street Journal.
According to sources, the idea was proposed on March 10 at an emergency meeting of representatives of the energy departments of 32 IEA member countries.
It is expected that countries will decide on this proposal today, Wednesday. It will be adopted if no one objects. But even if at least one country is against it, the implementation of the plan will be postponed.
The IEA's proposal is designed to counteract the large-scale disruptions caused by the almost complete blockade of the Strait of Hormuz. This is the same waterway through which approximately one-fifth of the world's oil supplies passed daily before the war. As a result, oil prices have soared by as much as 40% since the start of the US operation, exceeding the 100% mark.
To solve this problem, the IEA proposes to take more than 182 million barrels of oil from reserves, which is more than countries released onto the market in 2022 when Russia launched a full-scale war against Ukraine.
Trump 'shot himself in the foot'
Reuters recently reported that US President Donald Trump was considering several options for curbing oil prices. These plans are linked to the White House's fears that rising prices will hurt US businesses and affect the US congressional elections.
Also, according to Reuters, Trump is considering easing oil sanctions against Russia.
In addition, CNN wrote that the Trump administration was in a panic over rising oil prices. Officials were prepared for such events for several days, but the scale and final result took them by surprise.
Against this backdrop, WSJ sources said that some of Trump's advisers began urging him to seek a plan to end the war and bring it to a close.
