Middle East War & Crude Oil Price Spike: How nations are battling energy shock — and where India stands

The conflict in the Middle East has triggered one of the biggest disruptions in global fuel markets in recent history, forcing governments across the world to roll out emergency measures to save energy, control prices, and protect consumers.

Countries across Asia, Europe, Africa and the Pacific have announced fuel rationing, remote work rules, tax cuts, subsidies and public transport support as crude oil supply pressures pushed energy prices higher.

According to the International Energy Agency (IEA), the crisis led to the largest emergency release of oil stocks in its history. The agency has also tracked policy actions adopted by governments to reduce fuel demand and shield households and businesses from rising costs.

Here is a timeline-style look at major policy responses and India’s position in the global energy response effort.

Fuel conservation and public campaigns

Several countries first responded by asking citizens and businesses to voluntarily reduce fuel and electricity use.

Australia launched the “Every Little Bit Helps” campaign, urging people to cut fuel consumption. Singapore and Fiji also appealed to consumers to conserve energy and use efficient appliances.

Countries such as Ethiopia, Iran and Senegal issued nationwide advisories asking citizens to reduce unnecessary fuel use.

The European Commission announced the “AccelerateEU” action plan aimed at improving energy resilience and monitoring fuel markets more closely.

Governments shift to remote work and travel cuts

As fuel prices continued to rise, many governments adopted work-from-home measures to reduce commuting and transport fuel demand.

Pakistan introduced a four-day work week for public officials and encouraged remote work in the private sector. Indonesia announced work-from-home Fridays for civil servants, while Sri Lanka shut public offices on Wednesdays and promoted online meetings.

Egypt introduced one day of remote work for public employees and limited official travel. Myanmar made remote work mandatory on Wednesdays for government officials.

Countries including Jordan, Panama, Nepal and Malaysia also restricted official travel and reduced government transport usage.

Schools, cooling limits and energy-saving rules

Some governments imposed restrictions on schools, offices and air-conditioner usage to cut electricity demand.

Bangladesh closed public and private universities and limited air-conditioner temperatures to 25 degrees Celsius. Pakistan shifted schools to online classes, while Lao PDR shortened the school week from five days to three days.

Sri Lanka and Thailand introduced guidelines for limiting air-conditioner temperatures and reducing lighting usage. Egypt imposed rules on billboard lighting and early closure of administrative buildings to save electricity.

Transport controls and fuel rationing

Transport became a major focus area as countries tried to reduce oil consumption. Korea introduced odd-even vehicle rules for public sector workers and encouraged private drivers to avoid using vehicles one day each week.

Myanmar and Sri Lanka launched fuel rationing systems, while Bangladesh imposed limits on fuel supply for vehicles. Several countries promoted electric vehicles (EVs) and public transport. France renewed support schemes for EVs, while the United Kingdom announced measures to simplify EV charging infrastructure installation.

Thailand, Viet Nam and Singapore encouraged carpooling and reduced private vehicle use. Lithuania reduced local train fares by 50 per cent for two months.

Tax cuts and fuel subsidies

Many governments introduced financial relief measures to reduce the burden on consumers. Canada suspended the federal fuel excise tax, while Australia, Austria, Norway and Sweden cut fuel taxes.

Japan, Hungary, Croatia and Serbia introduced fuel price caps. Poland capped retail fuel prices and traders’ margins. Countries including Greece, Ireland and the Philippines expanded fuel subsidies for transport workers, farmers and vulnerable groups.

The United Kingdom announced support for heating oil consumers and accelerated its home energy efficiency programme.

Where India stands

India has adopted a mix of conservation and consumer protection measures while also focusing on long-term energy transition goals. On the conservation side, the government capped industrial natural gas usage, promoted the rapid rollout of piped natural gas connections and rationed commercial LPG use. India also pushed for a faster shift towards electric cooking solutions.

To protect consumers, the government cut excise duties on petrol and diesel and capped domestic jet fuel prices. Authorities also imposed limits on fuel-retailer margins and increased taxes on fuel exports to stabilise domestic supplies.

India’s approach differs from several countries that relied heavily on blanket subsidies or strict fuel rationing. Instead, New Delhi has focused on balancing supply management, targeted tax reductions and a gradual transition towards cleaner energy alternatives.

Energy experts say India’s strategy reflects concerns over fiscal pressure, import dependence and long-term energy security.

The global response to the Middle East-linked energy disruption shows how governments are increasingly combining short-term emergency actions with structural energy transition measures such as EV adoption, renewable energy expansion and efficiency upgrades.