WORLD VIEW 15 April 2026 Why more fossil fuels won’t fix the Iran energy crisis Climate-friendly technologies are the best way to stymie rising inflation — and will get better and cheaper over time. By Gernot Wagner Spend any time discussing solar and wind power as a solution to climate change, and you are sure to encounter someone who asks about reliability. The Sun does not shine at night and the wind does not always blow, so fossil fuels will be needed forever as a back-up, they argue. But how reliable are fossil fuels? In the past two months, conflict in Iran has created an energy crisis — the latest in a series. Oil prices spiked within days of the start of US, Israeli and Iranian bombing in the Gulf region on 28 February. Fuel prices remain high and volatile, and the ripple effects are set to increase inflation in the coming months. Isabel Schnabel, a member of the European Central Bank’s executive board, memorably named this effect fossilflation in the aftermath of Russia’s invasion of Ukraine in 2022. There was, and is, one clear winner: renewables and other low-carbon technologies, from batteries to electric vehicles (EVs) and heat pumps. That is what distinguishes this Middle East oil and gas crisis from the Arab oil embargoes of the 1970s. Then, renewables were mostly unavailable, and industrial decarbonization was on few people’s radars. Solar power cost at least 500 times more than it does today, and EVs, heat pumps and induction stoves were a pipe dream. Ditching fossil fuels is not all smooth sailing. In 2022, European natural-gas prices spiked to ten times their levels before the Ukraine invasion, resulting in long waiting times for solar panels and heat pumps. Prices for these rose as demand outpaced supply, an effect Schnabel dubbed greenflation. She used a third term, climateflation, to describe the economic effects of climate-induced weather extremes, such as food-price rises from crop failures (M. Kotz et al. Commun. Earth Environ. 5; 2024).
The Iran War has once again led to a bout of what @isabelschnabel.bsky.social memorably dubbed 'fossilflation'.
It's en vouge to talk about the solution as some massively complex undertaking. It really isn't. Get off fossil fuels faster.
My latest just out @nature.com
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