Work from home, school closures: How world nations are managing fuel crisis and how Uganda could follow
Countries hit hardest by the disruption in the Strait of Hormuz are now reaching for measures once seen during the Covid-19 period.
Governments across the world are weighing or already using work-from-home plans, shorter office weeks and public campaigns to cut fuel use as the war-linked supply shock bites.
The International Energy Agency has also urged countries to consider remote work, lower speed limits and other fuel-saving steps after member states agreed a record release of about 400 million barrels from strategic reserves.
South Korea has said work-from-home measures are under active consideration.
Its government has already launched a public campaign asking people to reduce energy use at home.
Reuters reported that in the Philippines, some government offices have moved to a shorter work week, while President Ferdinand Marcos Jr. declared a national energy emergency.
Pakistan has closed schools for two weeks and said office workers would work more from home.
Sri Lanka has gone as far as declaring a public holiday every Wednesday to stretch fuel supplies. Thailand has ordered civil servants to cut foreign travel, raise air-conditioner temperatures, use stairs and work from home.
Some governments are cushioning pain, not just cutting use
Not every country is responding the same way. Japan has chosen to shield households with subsidies aimed at keeping petrol prices around 170 yen per litre on average, and is also considering more coal-fired power generation to save scarce LNG supplies.
India says it has secured about 60 days of crude supply, broadened sourcing to more than 41 suppliers, raised domestic LPG output and cut excise duties on petrol and diesel to soften the blow on consumers.
New Zealand has announced temporary weekly support for low-income families, while Australia has moved to punish fuel price gouging more heavily as shortages hit some stations.
Germany has taken a different route by moving to limit how often petrol stations can raise prices each day, in an effort to curb sharp pump-price jumps.
The European Commission has meanwhile urged member states to start filling gas storage early because the war has driven gas prices sharply higher and left storage levels low.
Hard-hit regions are already feeling the strain
The worst pain is showing up where economies have little room to absorb price shocks.
In Somalia, reports say, fuel prices have more than doubled in Mogadishu, leaving many tuk-tuk drivers unable to work and worsening hardship in a country already facing hunger.
Mauritius is dealing with a heavy fuel oil shortfall after a missed shipment, South Sudan is rationing electricity, while Kenya and Uganda have both urged the public not to panic buy.
The wider global picture is also darkening. The OECD said on March 26 that the Iran war has erased an expected growth upgrade and is now fanning inflation, mainly because energy shipments through Hormuz have nearly ground to a halt.
Global oil and gas executives are warning of the worst supply disruption in decades, with more than a fifth of global oil and gas flows affected and Europe bracing for energy shortages from April.
What Uganda could do if the war drags on
Uganda’s Energy Minister Ruth Nankabirwa has said the country still has about 21 days of diesel, 26 days of petrol and 41 days of Jet A1, with more supplies expected in April and May from routes away from Hormuz.
She has also warned that pump prices could still rise if global costs keep climbing.
Sources indicate, however, that if the war does not end soon, Uganda could start with softer measures before moving to tougher ones.
The most likely early steps would be public appeals to reduce non-essential travel, encouragement for some offices to work from home, pressure on fuel dealers against speculative price hikes, and tighter monitoring of stocks.
If the pressure worsens, Kampala could also consider staggered work schedules, limits on government travel, fuel priority for essential services, and wider campaigns for car-pooling and public transport use.
Where the Iran war stands and whether it may end soon
The war is still active and there is no clear breakthrough. AP reported on March 27 that Israel launched a fresh wave of strikes on Iran, while Reuters said U.S. President Donald Trump has again pressed Tehran to accept a deal and has extended the deadline for Iran to reopen the Strait of Hormuz to April 6.
Iran, however, has called the U.S. proposal unfair, and AP said there is still no diplomatic breakthrough despite mediation efforts involving Egypt, Turkey and Pakistan.