The ongoing conflict involving Iran, the United States, and Israel is triggering what could become the most severe energy crisis in modern history, according to the International Energy Agency (IEA).

Speaking in an interview with France Inter radio on Tuesday, IEA Executive Director Fatih Birol described the situation in stark terms. “This is indeed the biggest crisis in history,” he said, warning that the combined shocks across oil and gas markets are already reverberating globally.

Birol noted that the current disruption is not isolated, but layered on existing vulnerabilities stemming from the fallout of Russia-Ukraine War, which significantly curtailed Russian gas supplies to Europe. The cumulative effect, he said, has created a multi-dimensional energy shock affecting both supply and pricing.

Central to the crisis is the strategic Strait of Hormuz, a vital maritime corridor responsible for transporting roughly one-fifth of the world’s oil and liquefied natural gas. Ongoing hostilities in the region have disrupted shipping flows, tightening supply chains and driving volatility in global markets.

The IEA chief further warned that the scale and complexity of the current crisis could surpass previous global energy shocks, including those of 1973, 1979, and 2022 combined.

In response to escalating prices and supply constraints, the IEA in March approved the release of a record 400 million barrels of oil from strategic reserves—an emergency measure aimed at stabilizing markets amid the intensifying conflict.

Analysts caution that unless tensions ease quickly, the world could face prolonged energy instability with far-reaching economic consequences, particularly for import-dependent nations.