Sheltering from oil shocks
The conflict in the Middle East has created the largest supply disruption in the history of the global oil market, due to the near halt in shipping traffic through the Strait of Hormuz. This report outlines demand-side measures available to governments, businesses and households that span road transport, air travel, cooking and industry amid strains in diesel, jet fuel and LPG markets.
Restoring transit through the Strait of Hormuz remains essential to stabilise global energy markets. In the meantime, countries are acting on both supply and demand. This report identifies ten measures that can be implemented quickly by governments, businesses and households. These actions focus primarily on road transport, which accounts for around 45% of global oil demand, but also cover aviation, cooking and industry. Widespread adoption, where possible, would amplify their global impact and help cushion the shock.
Immediate actions to reduce demand
- Work from home where possible
- Reduce highway speed limits by at least 10 km/h
- Encourage public transport
- Alternate private car access to roads in large cities on different days
- Increase car sharing and adopt efficient driving practices
- Efficient driving for road commercial vehicles and delivery of goods
- Divert LPG use from transport
- Avoid air travel where alternative options exist
- Where possible, switch to other modern cooking solutions
- Leverage flexibility with petrochemical feedstocks and implement short-term efficiency and maintenance measures.
