The IEA: an unprecedented energy crisis has begun

Alexey Belogoryev, Deputy Principal Director on Energy Studies of the Institute for Energy and Finance, commented on the global energy crisis in 2022 to the internet portal Vestnik Kavkaza.

Alexey Belogoryev noted, that so far there is enough oil and gas supply on the market. “Apparently, the IEA perceives as a crisis a sharp rise in prices simultaneously for all major energy sources. Frankly speaking, there is no severe shortage of either oil or gas now. The price balance is tense everywhere, especially for oil and liquefied natural gas, and supply covers demand with difficulty, but still there will be no deficit, at least this year. I would not compare our days with what happened during the oil shock of the 1970s," he said.

“If we talk about Russia, then the “price crisis” is beneficial for us as an exporting country. At the same time, the domestic market of the Russian Federation is protected by a damper and all kinds of duties. Basically, we are protected from any kind of volatility in external markets, so prices have little effect on us. In the current situation, when some buyers refuse Russian exports, high prices will only benefit us, because even with our discounts, revenues will continue to grow. Now we are selling the same barrel of oil at a higher price than last year," Alexey Belogoryev noted.