The global energy market is facing unprecedented pressure due to the escalating conflict between the US and Iran. In the background, Ukraine is preparing its gas reserves for a critical winter, and six European Union countries are demanding an emergency levy on oil giants' excess profits. Reuters reports that the US is preparing to announce the toughest economic sanctions in history against Tehran on Monday.
Iran scares its neighbors with “seismic“ retaliation
The new head of Iran's Supreme National Security Council, Mohsen Rezaei, has issued direct threats to neighboring Persian Gulf countries. He warned on state television that any country that supported US economic pressure would be considered an enemy. "If Trump takes action, our confrontation will be like an earthquake," Rezaei said, threatening to attack alternative routes for transporting oil and economic sites. The tension has already reduced traffic through the key Strait of Hormuz to just 20% of normal levels.
Iranian hackers block UK power plant
The conflict has also spilled over into cyberspace. The prestigious British newspaper The Telegraph revealed that hackers linked to the Iranian regime managed to disable a small power plant in the United Kingdom in four days. This is considered the first successful attack of its kind against British energy infrastructure. The British Department of Energy Security reassured that there was no risk to the national grid, but it has urgently sent instructions to energy companies to strengthen protection.
EU strikes back: Special tax for oil companies
Amid the shock prices of fuels, the finance ministers of Germany, Italy, Spain, Austria, Poland and Portugal sent a joint letter to Ireland, which currently holds the EU presidency. According to the French agency AFP, they are demanding the introduction of a pan-European tax on the excess profits of oil corporations. Energy giants are making record profits due to the surge in prices. The finance ministers are demanding that these funds be returned to consumers to stop inflation. Analyses by the organization "Transport and Environment" show that only eight of the largest oil companies earned an additional 7.5 billion euros in Europe in the first half of the year.
The volume of gas reserves in Ukraine
Against this backdrop, Eastern Europe's energy security remains vulnerable. Official plans for Ukraine's gas stockpiles for the upcoming heating season have been released. Energy Minister Denys Shmygal announced that the country is aiming to stockpile 14.6 billion cubic meters of natural gas in its underground storage facilities. This is the baseline security scenario, while the critical minimum is set at 13.2 billion cubic meters. The challenge for Kiev remains financing these purchases, given the destruction of local infrastructure by Russian attacks and the high international prices caused by the war in the Middle East.