IEA to Accelerate Release of Over 20 Million Barrels of Diesel Reserves

en.Wedoany.com Reported - On October 15, the 32 member countries of the International Energy Agency held a Governing Board meeting and agreed to accelerate the implementation of the emergency oil reserve release plan decided in March 2026, of which more than 20 million barrels of diesel have specific deployment arrangements and will enter the market as soon as possible. The agency confirmed that member countries have cumulatively released about 330 million barrels of oil and petroleum products, and the remaining about 100 million barrels will be delivered faster in light of each country's actual situation. Some member countries have actually released more than their original commitments, and the final total volume is expected to exceed the initial target of 400 million barrels.

This action targets the persistently tight diesel market. The IEA's Oil Market Report released on October 14 shows that global diesel exports in September 2026 decreased by about 700,000 barrels per day year-on-year, of which diesel exports from Russia and the Middle East fell by a combined about 1.3 million barrels per day, and increased supply from other regions only partially offset the shortfall. Global diesel and gasoil inventories continued to decline, with some reserves being drawn down ahead of time during a period when seasonal restocking would normally occur. The report forecasts that the year-on-year decline in global diesel and gasoil demand in the fourth quarter of 2026 may widen to 1 million barrels per day.

Germany announced on October 9 that it plans to release up to 15 million barrels of diesel, heating oil and crude oil reserves as part of coordinated action by the Group of Seven and the International Energy Agency. The country's economy minister confirmed that it will fulfill the relevant reserve release arrangements, with the released oil products covering transport fuels, heating fuels and refinery feedstocks. France has an additional release plan of 10 million barrels, and Italy has completed the previously committed release of 10 million barrels of reserves.

Spain announced on October 15 that it will launch the second batch of strategic petroleum reserve releases this month, totaling 4.4 million barrels. The first batch of 3.7 million barrels has already been delivered, and after the second batch is implemented, the cumulative release will reach 8.1 million barrels. Spain's maximum pledged release in March was 11.5 million barrels, and this delivery is a subsequent batch under the country's implementation of the IEA collective action.

In a letter to member governments on October 11, IEA Executive Director Fatih Birol asked countries that have not yet completed their March commitments to prioritize accelerating diesel releases; member countries that have already completed their commitments should assess whether additional releases are needed and specify the additional volume, implementation timing and its relationship to the original commitment. The U.S. Department of Energy said on October 15 that it is evaluating measures for further participation in the IEA reserve release, with a focus on diesel supply.

The IEA Governing Board also asked member countries with crude oil production and refining capacity to increase supplies of crude oil and refined products, especially diesel. The IEA Secretariat will continue to verify member countries' delivery progress and, based on the updated diesel market assessment, report to G7 leaders and the IEA Governing Board on the need for further action.