Brief

EU nations face €100bn energy cost surge after Iran war

EU energy ministers in Dublin say the bloc has paid an extra €100 billion for imports, with consumers facing up to 50% higher fuel prices.

By Felo News Desk · Published Tue, 29 Sep 2026 15:07:32 GMT

European Union energy ministers met in Dublin on 29 September to discuss the impact of the Iran war on the bloc’s energy budget. They said the war has cost EU members more than €100 billion – about $113.5 billion – in additional energy imports, while consumers in some countries pay up to 50 % more at the pump, roughly $11 a gallon.

EU energy commissioner Dan Jørgensen opened the meeting by noting the “serious” situation. He said the bloc has not received a single extra barrel of oil or gas despite the extra spending, and that ministers will look at ways to accelerate a shift from fossil fuels to electricity and to expand electrical infrastructure across the EU.

Jørgensen added that the EU has become highly dependent on the United States for direct energy imports after ending its historic reliance on Russia following the 2022 invasion of Ukraine. He warned that Europe is one of the most exposed regions for diesel, as about half of the bloc’s diesel supply comes directly from the US, and that the winter season will be harsh.

Fatih Birol, executive director of the International Energy Agency, echoed Jørgensen’s concerns. He said Europe imports a huge amount of diesel and that the region is highly exposed to supply disruptions. Birol also noted that the US has called for a ban on diesel exports to bolster domestic supply ahead of crucial mid‑term elections.

Key facts

EU members have spent more than €100 billion extra on energy imports since the Iran war (fortune.com)
Consumers in some EU countries pay up to 50% more at the pump, about $11 a gallon (fortune.com)
EU energy commissioner Dan Jørgensen said the bloc has not received a single extra barrel of oil or gas (fortune.com)
EU ministers will discuss accelerating a shift from fossil fuels to electricity and expanding electrical infrastructure (fortune.com)
About 50% of the EU’s diesel supply comes directly from the United States (fortune.com)

Background

The EU’s energy policy has been reshaped by the Iran war and the 2022 Russian invasion of Ukraine, which forced the bloc to diversify its energy sources and seek alternatives to fossil fuels.

Why it matters

The extra €100 billion cost and rising fuel prices strain EU budgets and consumers, prompting a strategic shift toward renewable energy and infrastructure investment.