From office to dark streets: How oil crunch is reshaping daily life in different nations

A month into the Middle East conflict, its ripple effects are felt across economies worldwide. The crisis was triggered on February 28, when the United States and Israel launched joint strikes on Iran, setting off a chain of events that has tightened Tehran’s grip over the strategically vital Strait of Hormuz. This narrow sea passage, linking the Persian Gulf with the Gulf of Oman and the Arabian Sea, remains one of the world’s most critical energy routes. At its narrowest, it spans just 29 nautical miles, with limited navigable channels for shipping. Carrying around 20 million barrels of oil daily, nearly a quarter of global seaborne trade, any disruption here has far-reaching consequences. As supplies come under strain, countries are scrambling to manage the fallout while cushioning consumers through a mix of policy responses.

While some have raised fuel prices, others restructured taxes to protect consumers.

Vietnam

Vietnam consumers have breathed a sigh of relief as the country has lowered fuel prices. Faced with a sharp spike in fuel costs, Vietnam rolled out emergency measures to bring costs under control. Authorities have suspended environmental protection taxes on petrol, diesel and aviation fuel until mid-April, in a bid to steady the domestic market. The trade ministry described the step as “an urgent and effective solution to stabilize the petroleum market and ensure national energy security amidst the escalating conflict in the Strait of Hormuz, which is creating the ‘biggest energy bottleneck ever’.” The move has led to a steep fall in prices, with petrol dropping by roughly 26% and diesel by more than 15% after earlier surges.

Venezuela

In Venezuela, prolonged high temperatures have intensified pressure on an already strained power system, prompting the government to scale back activity. Interim president Delcy Rodriguez announced a week-long suspension of work across the public sector, including education, as part of an electricity-saving drive. “During this Holy Week, I want to announce that I have decreed days off on Monday, Tuesday, Wednesday, Thursday and Friday for the entire education sector,” she said, adding that the country had endured “45 days of high temperatures.” While essential services will remain operational, the step reflects ongoing challenges in managing electricity demand.

India

In India, the government has taken a range of steps to cushion consumers and companies from the ongoing energy supply crisis. With refining costs climbing sharply, the government reduced excise duty on petrol and diesel by Rs 10 per litre each, despite the impact on state revenues. At the same time, export duties were introduced on diesel and aviation turbine fuel to manage supply pressures. Officials insisted there is no shortage of petrol, diesel or LPG, dismissing claims of disruption as a “coordinated misinformation campaign.” Domestic LPG availability remains stable, with production increased and states asked to expand commercial distribution.

Pakistan

Pakistan is facing mounting pressure from rising fuel costs, with the government adjusting prices selectively while trying to shield consumers. Kerosene prices have been increased by PKR 4.66 per litre to PKR 433.40, effective March 28, even as petrol and diesel rates remain unchanged at PKR 321.17 and PKR 335.86 per litre. Authorities said the decision aims to protect consumers from global price swings, with the state absorbing part of the burden through payments of PKR 95.59 per litre on petrol and PKR 203.88 per litre on diesel to oil marketing companies. At the same time, aviation fuel prices have surged sharply, rising for the fifth time in 28 days. A latest increase of PKR 5 per litre has pushed jet fuel to a record PKR 476.97 per litre, up from PKR 188 at the start of March — a jump of PKR 288. Airlines have already raised fares, with domestic one-way tickets on routes such as Karachi-Islamabad and Karachi-Lahore reaching up to PKR 40,000, while “chance seat” fares have surged by as much as 150%. Amid these pressures, work patterns are also adjusting in response to the energy strain, with measures aimed at reducing overall fuel consumption forming part of the wider response.

Egypt

Egypt has introduced a series of temporary restrictions to reduce energy consumption as fuel costs climb. Retail outlets, restaurants and cafes are now required to shut by 21:00 each night, alongside measures such as reduced street lighting and limited remote working. The government termed these “exceptional measures” in response to mounting pressure on energy supplies. Egyptian PM Mostafa Madbouly said that the country’s petrol expenditure had more than doubled in recent months. Although tourism-related businesses are exempt, the wider economy is feeling the strain, particularly due to reliance on imported fuel.

Sri Lanka

Sri Lanka is tightening energy use as supply disruptions continue to strain the country’s fuel system. With around 60 percent of its energy imported and limited reserves covering barely a month, authorities have reintroduced a QR-based rationing system. Weekly limits have been set, including eight litres for motorbikes, 20 for tuk-tuks, 25 for cars, 100 litres of diesel for buses and 200 for lorries. Fuel prices have also risen by about 33 percent since the start of the war, adding pressure on households. To curb consumption, the government has introduced a no-work-on-Wednesday policy, shutting offices and schools on that day. Alongside fuel shortages, Sri Lankan citizens are also struggling with disrupted fertiliser supplies which could push food prices higher, with estimates pointing to a potential 15% increase, further compounding the cost-of-living strain.