International Energy Agency (IEA) Executive Director Fatih Birol warned on Thursday that the world is facing the
“largest energy security crisis” in history, warning the turmoil in Middle East as a consequence of the military attacks between the United States and Iran could “reshape investment strategies globally”
similarly to the oil shocks of the 1970s. The remarks were posted alongside the IEA’s 2026 World Energy Investment report, which said the conflict in the Middle East and disruptions around the Strait of Hormuz are pushing “both producer and consumer countries to diversify energy sources and trade routes.” The report forecast global energy investment will reach $3.4 trillion in 2026, with most spending directed toward electricity grids, renewables, nuclear power, efficiency and electrification, while oil investment is expected to decline for a third straight year, “falling below $500 billion.”