A recent International Energy Agency report, State of Energy Policy 2026, finds that a succession of global shocks over the past five years has driven an unusually active period of energy policymaking. Drawing on data from the IEA’s Global Energy Policies Hub, which tracks more than 6,500 policy measures across 84 countries, the report reviews over 200 areas of energy policy change in 2025. These include government spending, emergency stockholding, energy access, regulation and climate commitments.
Since 2019, annual public spending on energy has more than doubled, reaching over $405 billion in 2025. Even before the latest disruptions stemming from the conflict in the Middle East, government spending was projected to remain at similar levels through 2030. The majority of these funds have been directed toward long-term investments in infrastructure, advanced manufacturing, renewable energy, efficiency measures and incentives to switch fuels.
The report highlights lessons from the 2022 energy crisis that followed Russia’s invasion of Ukraine. Of the roughly $220 billion in consumer support that year, only about a quarter was targeted to households most in need, amplifying the fiscal cost. In response to supply stress, thirty countries—accounting for over 40 percent of global natural gas imports—expanded storage requirements to bolster emergency reserves.
Policymakers are also addressing new risks tied to critical minerals and technology supply chains. Approximately one-third of the IEA’s tracked critical mineral policies were introduced within the last five years, partly in reaction to a rising number of export controls.
Laura Cozzi, IEA Director of Sustainability, Technology and Outlooks, notes that governments must balance short-term protections for consumers and supply security with long-term energy system goals. The report also observes a mixed picture for efficiency and fuel-switching regulations: fifteen countries strengthened standards in 2025, while others delayed or rolled back regulations—particularly in road transport—potentially leaving users more exposed to future price swings.
With the current Middle East crisis likely to spur another phase of rapid policy activity, the IEA will continue monitoring developments through its Global Energy Policies Hub.
Source: IEA News
