Over the past few years, energy security has abruptly resurfaced as a pressing priority, exposing critical structural weaknesses across global systems. The COVID-19 pandemic, Russia's invasion of Ukraine, and trade restrictions on key commodities have severely disrupted international supply chains. As a result, energy has re-emerged as a fundamental pillar of national and economic security, reaffirming its pivotal role in international geopolitics.
In response to these pressures, decision-makers worldwide have enacted a surge of specialised energy regulations a wave of state intervention that closely mirrors the sweeping policy measures adopted in the aftermath of the 1970s oil shocks.
Today, as this regulatory momentum accelerates once again, new strategic priorities have moved to centre stage alongside energy security, sustainability, and efficiency most notably the cost of living, industrial competitiveness and supply-chain resilience. Drawing on insights from the IEA's State of Energy Policy 2026, this article examines how this evolving landscape is reshaping national strategies, exploring which measures have been implemented and where the global energy trajectory is now heading.
How past energy crises still shape today's challenges
The oil crisis of the 1970s marked a historic turning point for global energy systems. Just five years later, the first energy-efficiency frameworks introduced in 1975 laid the foundation for more than 130 countries to implement minimum performance standards, with over 80% of global demand for cooling systems and industrial motors now governed by dedicated regulatory requirements. These swift and far-reaching policy responses enabled major economies to progressively reshape their energy architectures and combined with subsequent market and technological shifts pushed governments over the following decades to rely more heavily on renewables, nuclear power, targeted fuel-switching initiatives, and stringent performance regulations to strengthen resilience and diversify their supplier bases.
Today, these advances continue to shape energy policy worldwide. However, since last year, several shifts and emerging challenges have begun to influence the trajectory of global energy governance. Three developments stand out:
- Growing market concentration in clean-energy technologies. Governments are taking steps to address mounting risks in energy supply chains, as the largest supplier now accounts for more than 70% of global manufacturing capacity for many key components including solar panels, batteries, and other clean-energy technologies. This concentration, further heightened by geopolitical frictions, has become a major strategic vulnerability.
- A more moderate near-term focus on emissions reduction. Compared with previous years, near-term energy policy shows a more tempered emphasis on emissions reduction, slowing the pace needed to meet 2035 targets. In 2025, many governments prioritised emergency measures, resulting in more relaxed efficiency and fuel-switching standards overall.
- Balancing short-term pressures with long-term structural shifts. Despite these challenges, countries continue to build on existing policy foundations shaped by past energy shocks. Many are working to reduce long-term dependence on oil and gas imports, curb exposure to fossil-fuel price volatility, and accelerate the shift to low-emissions alternatives. Today, 150 countries have active policies to advance renewable and nuclear deployment, 130 have energy-efficiency and electrification policies, and 32 have measures designed to strengthen supply-chain resilience.
Slower progress on efficiency and changing policy standards
Governments have sharply increased public spending on advanced clean-energy technologies, with investment rising more than ten-fold since 2021 and expected to remain high. Yet this effort has not fully offset the growing pressures on energy systems.
Over 130 countries maintain energy-efficiency or fuel-switching regulations, though several were revised, delayed, or withdrawn in 2025. Global energy intensity has improved by about 30% since 2000 meaning the world uses one-third less energy per unit of economic output but the pace of progress has slowed from 2.2% in the early 2010s to 1% in 2024, alongside weaker industrial value-added growth.
Minimum energy performance standards (MEPS) and fuel-switching policies continue to play a crucial role by giving industry long planning horizons to develop and deploy more efficient technologies. In 2025, MEPS adjustments took effect in 15 countries some tightening requirements, others relaxing them. Most changes leaned toward reduced stringency, with notable examples including:
- The United States, where the One Big Beautiful Bill Act removed corporate average fuel economy civil penalties and the Department of Energy repealed earlier conservation standards for selected appliances;
- Revisions to the United Kingdom's phase-out plans for gas boiler installations;
- Canada's pause of the 2026 zero-emission vehicle mandate;
- The Eurasian Economic Union's decision to delay MEPS for energy-consuming devices and industrial motors from 2025 to 2028.
These adjustments did not immediately reduce efficiency levels, but they did ease pressure on manufacturers. At the same time, MEPS for industrial heat pumps, compressors, and motors continued to advance beyond prevailing standards, signalling ongoing progress in specific segments.
