"Governments and businesses across Southeast Asia are scrambling to stave off energy shortages as the Strait of Hormuz remains shut to maritime traffic, amid the fallout of the United States-Israeli war on Iran. Thousands of kilometres away from the Gulf, government offices in the Philippines have moved to a four-day work week, officials in Thailand and Vietnam have been encouraged to work from home and limit travel, and Myanmar's government has imposed alternating driving days."
"Despite holding substantial amounts of fossil fuels, Southeast Asia relies heavily on imported oil and gas, much of which passes through the Strait of Hormuz. About 84 percent of the crude oil and 83 percent of the liquefied natural gas (LNG) that passed through the Strait in 2024 was bound for Asia, according to data from the US Energy Information Administration."
"They're trying to manage the supply situation before it even comes close to hitting them. The measures are just a preview of what is to come in the region if the Strait remains closed, according to Priyanka Kishore, director and principal economist at Asia Decoded in Singapore."
Southeast Asian nations heavily reliant on fuel imports are experiencing energy supply disruptions due to the Strait of Hormuz closure amid U.S.-Israeli conflict with Iran. Governments across the region have implemented emergency measures including reduced work weeks, work-from-home policies, driving restrictions, and fuel price caps. Thailand capped diesel prices while Vietnam accessed its fuel stabilization fund. Despite holding fossil fuel reserves, Southeast Asia depends on imported oil and gas, with 84 percent of crude oil and 83 percent of liquefied natural gas passing through the Strait in 2024 destined for Asia. The Philippines, Thailand, Malaysia, and Brunei face the greatest vulnerability to crude oil disruptions, prompting preemptive government interventions to manage supply before critical shortages occur.
Read at www.aljazeera.com
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