International Energy Agency

Introduction and Origin

The International Energy is a Paris-based autonomous an intergovernmental organization established in the framework of the Organisation for Economic Co-operation and Development (OECD) in 1974 in the wake of the 1973 oil crisis. The IEA was initially dedicated to responding to physical disruptions in the supply of oil, as well as serving as an information source on statistics about the international oil market and other energy sectors.

The IEA acts as a policy adviser to its member states but also works with non-member countries, especially China, India, and Russia. The Agency’s mandate has broadened to focus on the “3Es” of effectual energy policy: energy security, economic development, and environmental protection. The latter has focused on mitigating climate change. The IEA has a broad role in promoting alternate energy sources (including renewable energy), rational energy policies, and multinational energy technology co-operation.

IEA member countries are required to maintain total oil stock levels equivalent to at least 90 days of the previous year’s net imports. At the end of July 2009, IEA member countries held a combined stockpile of almost 4.3 billion barrels (680,000,000 m3) of oil.

On 1 September 2015, Fatih Birol took office as the new Executive Director, succeeding in this position Former Dutch Minister of Economic Affairs, Maria van der Hoeven.


The IEA was created on 18 November 1974 by the Agreement on an International Energy Program (IEP Agreement). It was established to meet the industrial countries; energy organization needs in the wake of the 1973–1974 oil crisis. Although the Organisation for Economic Co-operation and Development (OECD) had structures such as the Council, the Executive Committee, the Oil Committee, and the Energy Committee that could potentially deal with energy questions, it could not respond effectively to the crisis.
The OECD had adopted the Oil Apportionment Decision [C(72)201(Final)], laying out procedures to be carried out in the event of an oil supply emergency in Europe. The establishment of the new organization was proposed by United States Secretary of State Henry Kissinger in his address to the Pilgrims Society in London on 12 December 1973. Also in December 1973, at the summit of the European Communities in Copenhagen, Danish Prime Minister Anker Jørgensen, who chaired the summit, declared that the summit found useful to study with other oil-consuming countries within the framework of the OECD ways of dealing with the common short and long term energy problems of consumer countries. At the Washington Energy Conference on 11–13 February 1974, the ministers of thirteen principal oil consumer countries stated the need for a comprehensive action program to deal with all facets of the world energy situation by cooperative measures. In so doing they will build on the work of the OECD.


The IEA was initially designed to help countries co-ordinate a collective response to major disruptions in the supply of oil, such as the crisis of 1973/4. While this remains a key aspect of its work, the IEA has evolved and expanded significantly.

The IEA examines the full spectrum of energy issues including oil, gas and coal supply and demand, renewable energy technologies, electricity markets, energy efficiency, access to energy, demand-side management and much more. Through its work, the IEA advocates policies that will enhance the reliability, affordability, and sustainability of energy in its 30 member countries and beyond.

Today, the IEA is at the heart of global dialogue on energy, providing authoritative analysis through a wide range of publications, including the flagship World Energy Outlook and the IEA Market Reports; data and statistics, such as Key World Energy Statistics and the Monthly Oil Data Service; and a series of training and capacity building workshops, presentations, and resources.

The four main areas of IEA focus are:

Energy Security: Promoting diversity, efficiency, flexibility and reliability for all fuels and energy sources; Economic Development: Supporting free markets to foster economic growth and eliminate energy poverty; Environmental Awareness: Analysing policy options to offset the impact of energy production and use on the environment, especially for tackling climate change and air pollution; and

Engagement Worldwide: Working closely with partner countries, especially major emerging economies, to find solutions to shared energy and environmental concerns.

Involvement with India

India joined IEA Association in 2017.

The IEA and India benefit from a long, ongoing bilateral relationship built on cooperation in a broad range of areas including energy security, statistics, efficiency, market analysis, implementation agreements and technology. The co-operation was first formalized as early as 1998 with the signing of the Declaration of Cooperation covering important issues related to energy security and statistics. Since then the relationship has developed further through the endorsement of three

Joint Statements, the last one in 2013. That Joint Statement covers areas of mutual interest to the IEA and India and helps facilitate co-operation at different levels and under various topics within the energy field. A priority area for co-operation is oil and gas security, and the IEA and the Ministry for Petroleum and Natural Gas signed a Memorandum of Understanding (MoU) in 2011.
This was the first time that the IEA signed an MoU with a key partner country in the area of emergency preparedness. The IEA published World Energy Outlook 2015 which features a special report on India’s energy outlook. In 2016, the National Institution for the Transformation of India (NITI) Aayog and the IEA signed a Statement of Intent to enhance co-operation in numerous fields including forecasting and data.

In March 2017, after a series of intensive consultations with all the relevant ministries, India joined the IEA as an Association country. This was a major milestone for global energy governance and another major step towards the IEA becoming a truly global energy organisation and strengthening ties with the key energy players. Since then, Indian delegations have actively participated in IEA committees, meetings and workshops. The IEA launches major publications in New Delhi to share our findings with Indian energy communities and policy-makers.

The IEA and India also have a long-standing collaboration in energy efficiency and have organised several joint workshops. In 2015, the IEA together with the Indian Petroleum Conservation Research Association (PCRA) helped bring in international expertise to support the development of regulations for Heavy Duty Vehicles.

The IEA and India also collaborate in renewable energy. In September 2015, the IEA with the support of the Ministry for New and Renewable Energy organized a workshop exploring key considerations for implementing a national wind energy technology roadmap in India.

International Energy Agency praises Pradhan Mantri Ujjwala Yojana

Prime Minister Narendra Modi’s signature Ujjwala scheme for providing free cooking gas connection to poor on Friday came in for praise from the International Energy Agency (IEA), which said it is a major achievement; in improving the environment and health of women. Providing access to LPG across India by 2020 is a major achievement. It is not an energy issue, it is an economic issue, it is a social issue. IEA Executive Director Fatih Birol said at a conference here. Birol said, India last year achieved the goal of providing electricity connection to all villages in the country and would soon give access of the same to every household. This is a huge achievement. Birol went on to hail India’s role in lending a voice to the consumers in the global energy market. “When oil prices go up, skyrocket, it becomes dangerous for the economic growth of many countries,” he said adding whenever prices rise, he dials Indian Oil Minister Dharmendra Pradhan for dialogue to ensure market stability.

India, the world’s third-biggest energy consumer, is moving to the central stage of global energy, he said. “There is trust in the (Indian) economy, there is trust in the political stability (in the country),” he said. Birol said IEA represents 75 percent of global energy users and is working very closely with India.

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