The G7 has announced a package of emergency measures aimed at easing mounting energy price pressures and protecting consumers from the economic impact of higher fuel costs.

Following a virtual summit hosted under France's G7 presidency, leaders agreed on a coordinated response to address extreme volatility in global oil markets, with a particular focus on reducing diesel prices and improving fuel availability.

In a joint communiqué, the leaders said unprecedented turbulence in oil markets was threatening economic stability and the wellbeing of citizens across participating nations.

They pledged immediate action to stabilise supplies, cushion households and businesses from price shocks, and strengthen the resilience of energy systems over the longer term.

A central element of the agreement is the coordinated release of 100 million barrels from strategic oil reserves through the International Energy Agency (IEA). The drawdown will begin immediately and be implemented over four months, with a substantial diesel-focused release frontloaded during the first 20 days by G7 members and partner countries.

The group also agreed to coordinate refinery maintenance schedules to avoid simultaneous shutdowns that could tighten supplies further. Refineries across G7 countries will be encouraged to maximise utilisation rates where possible, while non-member nations with significant refining capacity will be asked to increase diesel production.

Leaders additionally committed to avoiding export restrictions or trade barriers on energy and petroleum products between G7 countries, seeking to maintain uninterrupted flows of fuel across international markets.

The summit also addressed broader geopolitical risks affecting energy security. G7 leaders strongly criticised Iran over what they described as attacks against regional neighbours and actions disrupting international trade, energy security and the global economy.

They called for the immediate restoration of navigational rights in the Strait of Hormuz, one of the world's most critical oil shipping routes, and welcomed United States efforts to safeguard commercial maritime traffic through the corridor.

On Russia, the alliance reaffirmed that existing sanctions would remain in place despite concerns over energy market volatility. Leaders said they would continue working with the IEA and international partners to minimise spill over effects on oil, gas and commodity markets.

The IEA has been tasked with monitoring implementation of the agreed measures and preparing an assessment within 20 days. The report is expected to evaluate market impacts and provide recommendations regarding eventual replenishment of released stockpiles.

Summarising the outcome of the meeting, French President Emmanuel Macron said G7 leaders had agreed to work together to reduce petroleum product prices, particularly diesel. He highlighted plans to maximise refinery production, release strategic reserves under IEA coordination and avoid restrictions on energy trade among partner countries.

Prior to the summit, Macron held discussions with US President Donald Trump and Canadian Prime Minister Mark Carney regarding the global energy situation. According to French diplomatic sources, the conversations focused on tackling rising fuel costs and ensuring adequate supplies of refined petroleum products.

France, as the current G7 chair, has been working closely with the IEA to coordinate measures designed to ease market pressures and safeguard supplies of both crude oil and refined fuels. Macron stressed that coordinated international action remains essential to addressing the energy challenge while avoiding disruptive export controls.

The measures represent one of the largest coordinated strategic oil reserve interventions in recent years, reflecting growing concern among major economies about the inflationary and economic risks posed by persistently elevated energy prices.

ANI