Perspective
Energy debates often focus on how much oil is produced. The latest price shock is a reminder that routes matter just as much. Attacks on infrastructure and tankers have constrained Middle East exports, raised insurance and freight costs, and forced ships onto longer journeys.
The US Energy Information Administration reported Brent averaging $114 a barrel in September after disruption to Saudi Arabia’s East-West pipeline. Those costs do not remain at the wellhead; they flow into transport, manufacturing and household bills.
Governments need to treat ports, pipelines, shipping lanes and alternative routes as part of inflation resilience. Diversified energy systems and credible de-escalation are economic policies as much as security policies.
Sources: US Energy Information Administration; Deloitte global supply-chain analysis.
