Energy boss says prices might rise this winter

Energy boss says prices might rise this winter

The boss of the International Energy Agency has warned energy prices could spike again this winter, forcing governments to step in and subsides bills again. 

If the Chinese economy strengthens quickly and there is a harsh winter, gas prices could rise, putting financial pressure on customers, Fatih Birol said. 

He said governments should push for energy-saving and boost renewables. 

But a UK government spokesperson said energy bills are set to fall by an average of £430 this month. 

Gas prices jumped massively following Russia’s invasion of Ukraine. The war drove up energy bills around the world. It forced governments around the world to step in and try to ease the financial pressures on the public. 

Speaking to BBC’s Today programme, Birol said many European governments made “strategic mistakes” including an over-reliance on Russia for energy and that foreign policy had been “blindfolded” by short-term commercial decisions. 

He said this winter “we cannot rule out” another spike in gas prices.

“In a scenario where the Chinese economy is very strong, buys a lot of energy from the markets, and we have a harsh winter, we may see strong upward pressure under natural gas prices, which in turn will put an extra burden on consumers,” he said.