UK accelerates energy transition to cut reliance on fossil fuels amid Middle East conflict

The British government is stepping up efforts to accelerate its energy transition and reduce dependence on fossil fuels, with the issue brought into sharp focus by the ongoing Middle East crisis which has disrupted global energy supplies and driven up oil and gas prices.

In early March, just a week after the conflict erupted when the United States and Israel launched attacks on Iran, sparking a wave of retaliatory strikes across the region, British natural gas prices spiked by around 70 percent, further stoking inflationary pressures and raising concerns over the cost of living.

The UK's heavy reliance on natural gas, coupled with a storage capacity far smaller than that of France and Germany, has magnified the impact of external shocks.

Much of the attention in recent weeks has also focused on the closure of the Strait of Hormuz -- a vital passageway that typically carries about one-quarter of global seaborne oil trade -- while the uncertainty over the conflict is continuing to see wild fluctuations in oil and gas prices.

Britain's Energy Secretary Ed Miliband said the current Middle East crisis was "yet another reminder" of how vital it is for the UK to take control of its energy security by weaning off fossil fuels and moving to "clean homegrown power".

Another important step towards this aim came on March 24, when government unveiled new regulations requiring all newly-built homes in England to be fitted with solar panels and heat pumps starting in 2028.

Many developers are already incorporating the measures, replacing gas heating with heat pumps and combining rooftop solar systems to lower household energy bills and ease national electricity demand.

Residents in London have voiced support for the measures, citing lower costs and greater sustainability.

"People don't want to live with the uncertainty that the prices are going to keep fluctuating, because you can't budget for your life if prices keep fluctuating. So [the solar panels are] sustainable. And I know people who have had them installed and they say their electricity prices have gone well down," said one resident.

"I believe in green space going forward. I do believe in it because it saves a lot of money and the government needs to get behind it," said another.

According to the RAC, a British automotive services company headquartered in Walsall, petrol and diesel prices in March jumped more than in any previous single month, underscoring the urgency of Britain's push to diversify energy sources and strengthen resilience to withstand global shocks.

UK accelerates energy transition to cut reliance on fossil fuels amid Middle East conflict

A Japanese energy expert has warned that ongoing oil supply shortages caused by escalating tensions in the Middle East could continue to drive up prices, intensify concerns over supply security, and ultimately drag down the world economy if the situation persists.

The ongoing conflict sparked by the attacks of the United States and Israel against Iran has tightened global energy supplies, prompting countries to take emergency measures. The Japanese government began releasing oil reserves on March 16.

In an Interview with China Central Television on Wednesday, Ken Koyama, chief economist at Japan's Institute of Energy Economics, warned that the uncertain situation in the Middle East could keep pushing up oil prices and worsen supply concerns.

"This crisis caused by attacks by the U.S. and Israel has already lasted a month. Although there are various reports about a ceasefire, the actual direction remains unclear. If this situation continues, not only will it push up oil prices for Japan and the world, but it will also intensify concerns about supply shortages, dragging down the global economy. The longer it lasts, the more serious the problem becomes," said Koyama.

Koyama noted that shipping disruptions in the Strait of Hormuz have nearly halted Middle Eastern exports of refined oil products, posing a severe challenge for Japan, which relies heavily on these imports.

"Crude oil can be transported via pipelines that bypass the Strait of Hormuz, but there are no such alternative routes for refined oil products. Exports of refined oil products from the Middle East have been almost completely interrupted. This presents a huge challenge for countries dependent on Middle Eastern oil products. About 40 percent of Japan's naphtha is imported directly from the Middle East, and the raw materials for naphtha produced domestically also rely on crude oil from the region. So, the overall impact is significant. If the crisis is prolonged, the effects will gradually expand, and the outlook is not optimistic," he said.

Oil shortage threatens global economy: Japanese expert