The war in Iran, as a significant factor affecting global energy markets, has caused 25 countries to adopt electrification policies to improve their energy security. This shift comes especially as the COP31 climate conference approaches, where participating countries are called to commit to meeting 35% of global energy demand with electricity by 2035.
The Impact of War on the Energy Market
Since February of this year, when the United States and Israel began military attacks against Iran, the country has impacted one-fifth of the world's oil and gas trade by closing the Strait of Hormuz. This action resulted in a reduction of 18 million barrels per day from the global market and created massive shocks in developing economies. Following these developments, some emerging countries rapidly changed their energy security strategies and placed greater emphasis on clean energy.
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Rapid Growth of Electrification Policies
According to reports, since March 2023, around 25 countries have implemented new structural policies to increase electrification. Countries such as Brazil, Chile, El Salvador, Morocco, Kenya, and Namibia have managed to surpass the United States in terms of clean energy transmission. It is expected that by the end of 2025, 63% of emerging markets in Africa, Asia, and Latin America will use solar energy for electricity generation more than the United States.
Pakistan is also experiencing one of the fastest clean energy transitions in global history and has made significant progress specifically in developing solar energy capacities. These developments indicate a fundamental shift in the global understanding of energy security.
Despite these positive developments, the increase in clean energy production has also led to challenges, particularly in the areas of grid connectivity and transmission infrastructure. The International Energy Agency predicts that by 2040, we will need over 80 million kilometers of additional or upgraded grid infrastructure. This issue has created serious problems in regions where the development of this infrastructure is not progressing at the necessary speed.
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