European gas suppliers have warned that stringent new EU methane emissions regulations could threaten the continent’s energy security, as cargoes may be diverted elsewhere just as the bloc prepares to phase out Russian fuel imports.
Industry Backlash Over Methane Law
Under the new methane emissions law, all fuel importers must track and account for methane leaks across their supply chains — a significant move given methane’s powerful climate impact. The gas, which makes up the bulk of natural gas, has 80 times the global warming potential of carbon dioxide over a 20-year period, making its reduction vital for climate goals.
Environmental groups have hailed the EU’s initiative as a historic step toward curbing greenhouse gas emissions. However, energy companies say the law is impossible to implement in its current form, particularly in countries such as the United States, where thousands of small gasfields feed into large pipeline systems, making it difficult to trace the origin of every molecule of gas.
Andreas Guth, secretary-general of Eurogas — a coalition that includes BP, Shell, and TotalEnergies — warned that importers could divert cargoes to non-EU markets if the rules aren’t revised “immediately.” He said this could deprive Europe of lower prices expected from an upcoming global glut of liquefied natural gas (LNG).
Energy Security Concerns
The EU’s methane law will come into effect in 2027, coinciding with the bloc’s full ban on Russian gas imports. The regulation applies to all shipments contracted after August 4, 2024, leaving companies uncertain whether existing deals comply. Guth cautioned that this uncertainty could “alienate alternative suppliers” at a critical time, when the EU still needs to replace around 50 billion cubic metres of Russian gas.
Europe imported about 273 billion cubic metres of gas in 2024, according to European Commission data. Losing access to compliant LNG cargoes could create shortfalls, especially during peak demand periods.
Transatlantic Pressure and Diplomatic Strain
The EU also faces mounting pressure from its biggest gas partners, the US and Qatar, which jointly warned Brussels last month that they could withhold gas shipments unless the bloc eases its due diligence and methane regulations.
Washington has expressed additional frustration, with US officials — under President Donald Trump’s administration — suggesting that the EU’s supply chain due diligence directive should be repealed. They have also hinted at possible retaliatory tariffs if the law remains unchanged.
EU lawmakers are set to vote on potential amendments next week, but US officials argue that the proposed revisions “do not go far enough.”
Environmental Groups Defend Regulation
Despite industry complaints, environmental organisations insist the methane law is both necessary and feasible. The Clean Air Task Force (CATF), a non-governmental group, said tracing gas molecules could be achieved using digital certificates linked to each shipment.
The industry has offered alternative tracing methods, but Eurogas continues to push for exemptions for existing contracts.
EU Response
EU Energy Commissioner Dan Jørgensen reaffirmed last month that the regulation “stands as it is,” while acknowledging that Brussels is “very willing to look at how to make it easier to implement.”
The debate over methane rules highlights a broader tension between the EU’s climate ambitions and the realities of energy security, especially as Europe transitions away from Russian fuel and seeks to maintain stable energy supplies during its green transformation.
