Electric vehicle growth saves European countries two billion euros during oil crisis

Electric vehicle fleets in six oil-importing countries in Europe have saved almost two billion euros since the start of the war on Iran, Euronews reported. The rising adoption of electric cars has protected those nations against spiralling costs for oil imports during the ongoing energy crisis. [1]

Oil market prices have increased sharply due to the conflict. Euronews reported that Brent crude reached nearly 100 dollars, or around 89 euros, per barrel on October 22. This represents the highest level in five weeks. On February 27, the day before the war broke out, Brent crude was priced at 67 dollars, or 59.63 euros, per barrel, which is about 32 per cent lower than current prices. [1]

The price increases are driven by supply risks in the Middle East. Euronews reported that rising costs stem largely from Iran's control over the Strait of Hormuz, a 167-kilometre shipping route. EnergyNow.com reported that oil prices jumped six per cent after Iran set a United Arab Emirates oil port ablaze and struck vessels in the Strait of Hormuz. The Wall Street Journal also reported that oil prices rose more than two per cent as risks surrounding U.S.-Iran conflicts and attacks on Saudi Arabia persisted. [1][3][4]

The global oil market disruption has caused widespread economic consequences. The International Energy Agency characterized the conflict as the largest supply disruption in the history of the global oil market, leading to supply shortages, currency volatility, and inflation, according to Wikipedia. As FTMQ News reported earlier, the ongoing war on Iran has caused global market disruptions and electricity bill increases for consumers in other regions of the world. [6][8]