‘Releasing strategic reserves is a possibility,’ EU energy chief tells Euronews as diesel squeeze bites

Member states are discussing a coordinated release through the IEA, as the US pressures Europe to put more oil on the market. The Energy Commissioner told Euronews that Brussels can help coordinate the effort.

The European Union is contemplating a fresh emergency oil-reserve release, with Energy Commissioner Dan Jørgensen telling Euronews strategic stocks could be drawn down again to bolster supply and ease mounting price pressures .

The war in Iran and reduced refining capacity have squeezed supply, driving a sharp rise in prices for companies and consumers. Diesel prices at the pump have surged over the past month, prompting the US to pressure EU member states to release emergency stocks in a move that could put an additional 120 million barrels on the market.

“We are discussing with all members of the International Energy Agency (IEA), not only the United States, when the right time is to release, because this is one of the opportunities that we have. We've used it before, and we'll likely use it again,” the Danish commissioner told Euronews on Thursday.

US diesel has surged to $7 a gallon, while Brent crude has traded between $97 and $102 a barrel since late September — up $25 to $30 from pre-war levels.

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