The European Commission is encouraging member states to promote remote work and expand public transport subsidies as part of efforts to reduce fuel demand across the European Union. The policy push comes as energy prices surge following continued conflict in the Middle East, raising concerns about long-term supply disruptions and rising import costs.
EU Energy Commissioner Dan Jorgensen said demand reduction measures are necessary to stabilize energy markets and protect households and businesses from further price shocks. Officials stressed that while fuel supplies remain stable for now, sustained high prices remain a major risk.
Strategic Oil Releases and Rising Import Costs Increase Pressure
European countries have already released approximately 400 million barrels of strategic oil reserves under coordination with the International Energy Agency, marking the largest coordinated release on record.
However, the ongoing disruption in the Strait of Hormuz has significantly affected global energy flows. EU officials reported that the conflict has added nearly 14 billion euros ($16 billion) to the bloc’s fossil fuel import costs within just over one month.
Governments Consider Speed Limits and Public Transport Incentives
To manage rising fuel demand, the European Commission has urged national governments to explore measures such as encouraging remote work, increasing public transport usage, and introducing reduced highway speed limits. Several countries, including Spain and Croatia, have already implemented fuel price caps, tax reductions, and targeted subsidies to ease the financial burden on consumers.
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