The oil crash unleashed instant panic across financial markets, but Saudi Arabia’s decision to start a price war may yet have profound consequences for the world’s embrace of cleaner energy.

“It will definitely put downward pressure on the appetite for a cleaner energy transition,” Fatih Birol, head of the International Energy Agency, said of the historic fall in crude prices.

Analysts warned that the oil price shock could hurt demand for electric vehicles (EV) and dim the appeal of energy efficiency measures because the turmoil—allied to a slowing global economy—had a chilling effect on the most ambitious renewable plans.

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